Rift Oil PLC (LSE: RIFT) has raised £540,000 (before expenses) through a placing of 10,800,000 new ordinary shares in the Company at 5p each. The new ordinary shares represent 3.0 percent of the enlarged issued share capital. Following the recent gas discovery at the recently drilled Douglas-1 exploration well, these funds will help fund the ongoing appraisal of the well. Rift has a 65% interest and its joint venture partner, Austral Pacific Energy Ltd. a 35% interest in Douglas-1. The discovery has been deemed by the operator Austral Pacific Ltd. to warrant casing and production testing.
Application has been made for the 10,800,000 new ordinary shares to be admitted to trading on AIM. The new shares will rank pari passu with the existing ordinary shares in the Company, and trading is expected to commence on June 26, 2006.