Ascent places shares at discount

27th Nov 2009 08:37

Shares in Ascent Resources were on a downward trajectory Friday after the oil and gas company announced fund raising plans.The company intends to raise £6m by means of a placing of 120m new shares at 5p each. The placing price compares with a mid-market closing price of 7p on the day before the placing was announced.The proceeds from the placing will be used to speed up the development of the company’s European oil and gas production and exploration projects.‘Not only does the placing strengthen our institutional shareholder base, but it also enables us to implement our 2010 development plan, which is focussed on proving up reserves and increasing production,’ said Ascent’s managing director Jeremy Eng.