04 Jul Mosman Oil and Gas invests in Canada’s Hemisphere Energy Corp
New Zealand and Australian focused oil exploration company Mosman Oil And Gas Ltd (LSE:MSMN) has announced a new investment of US$295,000 in Canadian oil and gas producer Hemisphere Energy Corporation (CVE:HME).
Hemisphere Energy owns producing assets in south east Alberta where output in the first quarter of this year amounted to 508 barrels of oil per day.
Mosman’s investment is part of a wider funding which sees a total of 8 million shares being sold to investors.
John Barr, Mosman chairman said: “The investment in HME is strategic as the company is expected to be rerated from the planned drilling and the potential lift in commodity prices.”
Mosman paid 14 cents in the deal and the company will wholly own 2.4% of Hemisphere Energy.
Cash raised by Hemisphere Energy is being set aside for investment in new drilling which aims to grow group production further.