MEC Resources Limited announces a pro rata non-renounceable entitlement issue to its shareholders.
On 27 June 2008 MEC Resources Limited ("Company") announced a pro rata non-renounceable entitlement issue to its shareholders. The pro-rata is on the basis of one (1) Share for every one (1) Share held plus three (3) free attaching options for every two (2) shares issued at a price of five cents each ("Entitlements Issue").
The maximum number of Shares which may be issued under the Entitlements Issue is 71,072,838 Shares at an issue price of five cents per Share to raise $3,553,642.
The purpose of the issue is to maximise the Company's involvement in the petroleum resources sector considering current global demands and record energy prices.
The funds raised will be used to invest further in investee company Advent Energy Ltd, allowing a drilling rig to be secured for Petroleum Exploration Permit 11 in the offshore Sydney Basin, and further development of Advent's strong portfolio of exploration assets throughout Australia.
An Offer Document will be mailed to eligible shareholders on 16 July 2008 together with personalised Entitlement and Application Forms.