L&M Petroleum lists on NZX at 14% premium

L&M Petroleum lists on NZX at 14% premium

11 January 2007, Wellington: New Zealand based oil and gas company, L&M Petroleum Limited (ASX:LMP), listed on the NZX today at 25 cents per share representing a 14 percent premium to its issue price of 22 cents.

L&M jointly listed on the ASX and New Zealand Stock Exchange after it’s A$20 million Initial Public Offering closed fully subscribed before Christmas.

L&M holds 100% interest in five petroleum exploration permits located both onshore and offshore over much of the Western Southland Basin of New Zealand’s South Island. L&M will commence the next phase of its onshore exploration programme in late January by acquiring additional seismic data over its Dean prospect and within the next three months will commence drilling the first of the six wells to be drilled over the coming year at Eastern Bush in its onshore Waiau Permit.

Chairman of L&M Petroleum, Geoff Loudon said, “Our objective is to make L&M Petroleum one of New Zealand’s major oil and gas producers based on its strategic South Island acreage.”

“Our onshore prospects with potential initial resources in place of close to 400 million barrels of oil and 194 bcf of gas was a strong enticement for savvy investors as well as the early drilling.”

100 million shares at A$0.20 cents a share were taken up in the IPO. A one for two bonus option exercisable at 25 cents per share will be issued to all shareholders who have bought shares within the first three months after the date of listing, providing they are on the register on the option issue date. The issue was fully-underwritten by McDouall Stuart in New Zealand and Intersuisse in Australia.

ENDS

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