New Guinea Energy (NGE), an Australian company that explores for oil and gas in Papua New Guinea, has made an investment in oil and gas exploration company, Karoon Gas Australia.
The investment of circa $3.55 million, representing approximately 18% of the NGE’s net assets as at December 31, 2015, was made after the close of trading on April 15, 2016.
NGE explained that the investment was in line with the company’s stated strategy of shifting away from investing in few, high cost, high risk activities to more attractive investment opportunities aimed at maximising returns for shareholders over the medium to long term.
Further, NGE added, the investment was also in line with the previously stated strategy of making strategic investments to take advantage of currently depressed oil and gas markets and also evolving the company’s activities outside of Papua New Guinea.