Foreign Investment Review Board Approves WestSide Corporation Limited (ASX:WCL) Dawson Acquisition
Brisbane, April 20, 2010 AEST (ABN Newswire) - WestSide Corporation Limited (ASX:WCL) today moved a step closer to completing the acquisition of a 51 per cent interest in the Dawson coal seam gas (CSG) fields in Queensland's Bowen Basin after receiving advice that the Foreign Investment Review Board (FIRB) has no objections to the transaction.
The Company is now working to satisfy a number of remaining conditions precedent to enable completion of the purchase.
These conditions include obtaining indicative Ministerial approval on behalf of the Queensland Government of the necessary title transfers to WestSide, finalisation of an agreement on the novation of gas sales contracts and obtaining finance on terms acceptable to WestSide's Board.
WestSide recently announced details of a A$64.4 million funding package to finance the acquisition of Anglo American's (LON:AAL) 51 per cent stake in the producing Dawson CSG fields and related development work to increase gas production from the fields.
The first A$8.1 million tranche of the funding was completed last week via share placements to New Hope Corporation (ASX:NHC) and Energy Infrastructure Trust (EIT) which have also jointly agreed to fully underwrite a 1-for-1 Entitlements Offer to raise a further A$56.3 million.
The Entitlements Offer will open on Friday, 23 April 2010.
Chairman and Chief Executive Officer Mr Angus Karoll said WestSide Corporation was now firmly on track to complete what would be a company-making transaction.
"The Dawson Seamgas acquisition and the participation of NHC and EIT will transform WestSide Corporation into one of Australia's leading, dedicated CSG producers and operators with a substantial gas contract in place and an array of exciting growth opportunities available to pursue," he said.
Chairman and CEO
WestSide Corporation Ltd