18 December 2014

NZ resource group takes AIM

25/01/2010

Aussie entrepreneur Ian Gowrie-Smith plans to float New Zealand offshore oil play Kea Petroleum with a £6m AIM funding.

Aussie entrepreneur Ian Gowrie-Smith plans to float New Zealand offshore oil play Kea Petroleum with a £6m AIM funding.

Veteran Aussie entrepreneur Ian Gowrie-Smith plans to float Kea Petroleum with a £6 million AIM funding.

Gowrie-Smith, a sometimes controversial but usually successful corporate player who founded UK drug groups Medeva and SkyePharma and floated Papua New Guinea-focused Rift Oil three years ago, is chairman of Kea, whose three exploration permits in New Zealand’s well established Taranaki and Northlands basins hold an estimated 686 billion cubic feet of gas and 36.5 million barrels of oil. Serial investor Nigel Wray and Mark Knopfler of the band ‘Dire Straits’, who both backed Rift Oil, are among pre-float investors who have put some £7.2 million into Kea since September at 5p a share.

That price compares with a hoped-for 8p for the AIM launch, says executive director David Lees, who says the company intends to start drilling in two months and aims to achieve first sales within a year. RBC Capital Markets is designated nominated adviser and broker to Kea, which struck a deal whereby Canada-based Methanex Corporation will fund one of the wells in exchange for a commercially priced off-take agreement for the gas and a share of development profits.

Lees, like chief executive officer Dr David Bennett a former Rift Oil luminary, argues the Taranaki and Northlands basins are notably more hospitable and better provided with infrastructure than Rift’s PNG prospects. Kea, which hopes to establish a £60 million AIM value with this float, has also applied for some offshore New Zealand licences.

Rift delivered its original AIM backers a three-fold return over four years when Talisman Energy took it over last year, though not all Gowrie-Smith ploys have fared that well. Investors in Kea, one of whose exploration wells is called Beluga, will be hoping for a similarly appetising payback this time.

Tags: AIM, Fundraisings, New Issues

Growth Company Investor: free trial

Since 2008, our share tips outperformed the benchmark by 281%. Take a free trial and get access to our recommendations today. Start free trial now.

Directors' Pay on AIM 2014

The most comprehensive review of AIM directors' pay available, and this year includes a record sample of 1,044 AIM-quoted companies. The full report is available to order for £365 + VAT. Click here for more info

Latest small-cap and growth company news

Daily coverage of small-cap company stocks on London's junior markets AIM and PLUS, breaking news, stock research and latest share price information for investors. Full sector coverage with all the latest news on smaller listed companies, updated several times a day with financial reports, trading statements and links to further web resources.

Popular News

Latest News

The company provides a range of software services to the NHS

Ideagen raises £18m and grabs Gael 18/12/2014

NHS Software specialist Ideagen (AIM:IDEA) has raised £18m and acquired fellow software play Gael.

Range obtains $110m of cash while board quits 12/12/2014

Oil explorer Range Resources (AIM:RRL) has announced a package of funding worth $110 million to continue its exploration efforts while reporting a raft of resignations.

Tags: Oil and gas

Porta grabs Publicasity 11/12/2014

PR group Porta Communications (AIM:PTCM) has acquired food and drink PR concern Publicasity.

Tags: British Media

Rare Earth excited by Yangibana 03/12/2014

Rare Earth Minerals (AIM:REM) reported an update on the hunt for the minerals in Western Australia.

Tags: Mining

Universe expands to Morrisons 03/12/2014

Loyalty card and petrol forecourt technology specialist Universe Group (AIM:UNG) reported on a deal with supermarket chain Morrisons.

 

Tags: Retail, Technology

Saint still going 03/12/2014

Beleaguered Sierra Leone-focused gold and diamond hunter Golden Saint Resources (AIM:GSR) has provided an update on its operations.

Tags: Mining

More News