LNG raises $49.5m for Magnolia
UPDATE 2.50pm: Liquefied Natural Gas Limited says it has raised $49.5 million in a placement to existing Australian and new US institutional investors to complete funding for its 8mtpa Magnolia LNG facility in Louisiana.
The placement of 90 million new shares was priced at 55 cents and will be completed in two tranches, with the second subject to shareholder approval.
LNG managing director Maurice Brand said the company would use $US30 million to fully fund Magnolia through to June 30 next year with the balance of funds used for working capital and the identification of new LNG opportunities.
"With this funding in place the team is now fully focused on delivering the EPC contract and entering into binding Liquefaction Tolling Agreements," he said.
LNG last week filed a formal application for the project to the US Federal Energy Regulatory Commission.
LNG is also developing a 3.8mtpa LNG production plant at Fisherman's Landing in Gladstone, Queensland.
The plants will utilise the company's wholly-owned Optimised Single Mixed Refrigerant technology.
LNG shares closed up 1.5 cents, or 2.29 per cent, at 67 cents.
