Carbon Energy is now well placed financially to continue the ongoing development of its proprietary keyseam® technology and development of its portfolio of projects after it raised AUD 8.2 million from a one for eight non renounceable rights issue.

The company received applications for a total of 68.7 million shares, which represents a take up of 79%. Carbon Energy anticipates placing the shortfall of 18.6 million shares within the next three months raising the gross proceeds to approximately AUD 10.4 million before costs.

The funds raised through the rights issue are in addition to the AUD 10 million Convertible Loan Facility with Pacific Road Capital, bringing total funds raised to date to AUD 18.2 million.

Besides continuing development of the keyseam® technology, which is designed to maximize resource efficiency, extracting up to 20 times more energy from the same resource than coal seam gas, Carbon Energy will use the funds to:

1. Secure permitting approvals in Queensland for a 5 MW power plant

2. Continued development of its coal project in Chile with JV partner Antofagasta Minerals SA as well as fast tracking to commercial opportunities in Chile

3. Planning and approvals for exploration in Wyoming

4. Planning and approvals for exploration in Amasra in Turkey