Elixir Energy raises $5M to weigh Taroom Trough options
What's the deal? Elixir EnergyDealroom has a profile for this one. Try Dealroom →, an ASX-listed gas developer in Queensland's Taroom Trough, has raised A$5 million in a share placement. It has simultaneously launched a strategic review to decide how best to advance its assets in the region.
The terms: The placement will issue 125,000,000 fully paid ordinary shares at $0.04 each, with settlement expected on August 19.
Why now? Elixir says it has moved beyond exploration and appraisal, confirming the existence and extension of ShellDealroom has a profile for this one. Try Dealroom →'s primary plays into its permits. Initial flow testing at Lorelle-3H supported modelling of a potentially commercial development within ATP2056.
What's the endgame? The review will weigh retaining and self-funding development, a partial or full farm-out to a strategic or financial partner, corporate transactions such as joint ventures, or a combination of these.
Where the money goes: Funds will support downhole pressure monitoring and observation of Lorelle-3H during its 60-day soak period, then costs to resume flowing the well. The placement will also fund artificial lift and a restart of flow testing at Diona-1, subject to JV approval, plus resource certification.
In their words: "This placement strengthens our balance sheet at a pivotal time for the Taroom Trough, where industry interest in the play has never been higher," said managing director and chief executive officer Stuart Nicholls. He added that Elixir holds "the largest land position across every known and tested play in the Trough."
The signal: The quick re-raise gives Elixir room to keep testing while it shops its position around. With adjacent operators advancing toward commercial development, the review signals that Elixir is positioning to convert its acreage into a deal rather than go it alone.
Read more: Industry Queensland
Image credit: Tim Evanson
