State Gas Limited (STGSF) Undertakes Institutional Placement and Non-Renounceable Entitlement Offer

State Gas Limited (ASX:GAS) (OTCMKTS:STGSF) is pleased to announce an institutional placement (Placement) and 1 for 2 accelerated non-renounceable entitlement offer (Entitlement Offer) (jointly, the Offer) to institutional and sophisticated investors and existing shareholders, to raise up to approximately $8.9 million before costs associated with the Offer.

HIGHLIGHTS:

- ~$2.0 million placement to sophisticated and institutional investors and a ~$6.9 million 1 for 2 accelerated non-renounceable entitlement offer at $0.05 per share, with attaching 12-month options exercisable at $0.08 on a 1 for 2 New Shares issued basis

- Proceeds used to finalise costs associated with the construction and commissioning of the Company's High Density Natural Gas ("HDNG") production facilities at Rolleston-West and provide the Company with working capital

- Subject to offer take-up, the offer may also allow the Company to:

o accelerate exploration and appraisal activities; and

o improve efficiency and production capability of the HDNG plant

*To view the full offer and timetable, please visit:
https://abnnewswire.net/lnk/LV29SRUF

Doug McAlpine
Chief Executive Officer
Phone: 0488 007 889
Email: doug@stategas.com

Richard Cottee
Executive Chairman
Phone: 0458 517 850
Email: richard@stategas.com

News Provided by ABN Newswire