Bass Oil (ASX:BAS) plans to acquire a 100% interest in the Vanessa gas field from Beach Energy (ASX:BPT), subject to required approvals, according to a Wednesday Australian bourse filing.
The firm will assume future abandonment liabilities for the well and facility with assistance provided by Beach. The acquisition includes a shut-in gas production well, processing equipment, and a five-kilometer pipeline connecting the field to the Cooper Basin gas transmission network at Moolion North.
The Vanessa gas production facility requires around AU$1.3 million for its recommissioning and to return the well to production.
The firm launched a one-for-three non-renounceable entitlement offer to eligible shareholders at an issue price of AU$0.032 per share to raise up to AU$3.1 million, before costs. Participants in the issue will also receive one free attaching option for every two shares subscribed, exercisable at AU$0.05 on or before May 31, 2028.
PAC Partners Securities and Adelaide Equity Partners agreed to act as joint lead managers to the rights issue.
Its shares fell 5% on market close on Wednesday.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.