Queensland and Northern Territory-focused gas explorer Top End Energy listed at 40c on Monday – a 100 per cent premium to its initial public offer price.
The company raised $6.4m at 20c a share, with the money to be used to explore across its ATP1069 prospect in Queensland as well as its TG Project – a portfolio of 30 oil and gas permit applications in the Northern Territory.
The shares debuted at 40c before hitting 41c, then settling back to close at 35.5c with more than 1.4 million shares traded.
Queensland resources entrepreneur Paul Williams has a 22.2 per cent stake in Top End Energy after vending the NT assets into Top End, and will retain a 50 per cent joint venture interest in them also, through his company Mckam Aust.
ATP 1069, which was acquired from Tri-Star Energy Company, is in central Queensland, 130km north west of Charleville, 50km from the existing Charleville gas field and 15km from a gas pipeline. “The company’s ATP 1069 permit will be the company’s flagship project until the Northern Territory applications are granted and a complete geological review has been undertaken over the entire portfolio,’’ the Top End Energy prospectus reads.
“Activity in both the Queensland and Northern Territory gas sector has recently increased due to, among other factors, the lifting of the (fracture stimulation) moratorium in the Northern Territory as well as the federal government’s ‘Gas Led Recovery’ program, which aims to mitigate the looming gas shortage on the east coast of Australia.
“ATP 1069 has possible prospectivity for conventional gas, unconventional coal-seam gas and shale oil.’’
The NT permits, put together by Mr Williams, cover about 160,000sq km, with a large portion of the applications centred on the territory’s western edge, at the top of the Amadeus Basin.
“The process of proceeding to grant of the exploration licence over several key permits is underway, with certain permits expected to be granted in 2022 (subject to a timely passage through the land tenure process),’’ the company said. “Post-grant, studies will be completed to plan acquisition of 2D seismic data to identify drilling targets.’’
Mr Williams has a long history in the resources sector, with large interest in the Queensland coal sector.
“Paul started his career underground opal mining in Lightning Ridge at the age of 15 and developed a knack for mining and contracting,’’ Top End’s prospectus reads. “Over the years he has started and owned various mining, contracting and development companies, which lead him to upstream resources projects.
“Over the past 10 years, Paul has had the foresight to acquire greenfield projects including iron ore projects in the Pilbara and Mid-West on top of the 30 oil and gas projects throughout the Northern Territory.
“Paul additionally held a coal portfolio over the past 15 years.’’
Top End Energy said it was committed to minimising its carbon footprint, which could involve carbon offsetting and carbon capture and storage.
“The company also intends to investigate the potential in the vicinity of its core assets for the development of complementary renewable energy revenues streams (including wind, solar, biomass and biogas),’’ the company says in its prospectus.
“The company’s primary objective is to be a net zero emissions (Scope 1 and Scope 2) energy -producer.’’
On a fully diluted basis, based on the 20c listing price, the company’s market capitalisation on listing was $23.9m.
The company is headed by managing director Oliver Oxenbridge, with Emmanuel Correia non-executive chairman and Greg Lee technical director.
