Xtract Resources raises £1.2m through shale disposal

10th Jul 2014 15:22

Exploration group Xtract Resources has raised £1.2m through the sale of 5m shares in Global Oil Shale (GOS) at 23.77p each in an effort to strengthen its cash position.The AIM-listed group was issued 6m shares in GOS at a price of 12p in December 2012, which was part of the disposal of the Julia Creek oil shale tenements in Queensland, Australia. A further 1.37m were issued the following year at 40p.The disposal therefore left the group with a holding of 2.37m shares, which would be increased by an additional 1.5m shares if GOS aims to float. Chief Executive Officer Jan Nelson said: "The opportunity arose for Xtract to sell 5m shares, which immediately provides the company with an additional £1.2m without diluting shareholders." As of 14:14 the share price was unchanged at 0.21p.WS