- IPB Petroleum (IPB) shares have entered a voluntary trading halt while the company gears up for a potential capital raise
- The capital raise comes shortly after the company revealed it had less than a quarter's worth of funds available
- IPB was set to receive debt funding from a farm-in agreement which has since been pushed back to September
- The trading halt is set to be lifted on or before Tuesday August 3
- Prior to today's trading halt, IPB Petroleum shares last traded at 2.1 cents
IPB Petroleum (IPD) shares have entered a voluntary trading halt while the company gears up for a potential capital raise.
At this stage, IPD has not explicitly indicated how much it is looking to raise or for what purpose however it comes not long after the company revealed it had one quarter of available funding left in its June report.
The company had $200,000 in cash and equivalents by quarter end after it failed to receive initial remittances from Quay during the period.
IPB entered an agreement with Quay in March to farm out 50 per cent interest in the IPB WA 424P permit in Broome in exchange for debt funding and funding for an appraisal well and a potential first stage development.
IPB had anticipated an initial US$5 million (A$6.7 million) payment in early April but advised the funds would be drawn down in August or September instead.
The trading halt is expected to remain in place until Tuesday August 3, when an announcement regarding details of the raise are released to the market.
Prior to today's trading halt, IPB Petroleum shares last traded at 2.1 cents.