Octanex (ASX:OXX) is involved in oil and gas exploration in Australia and New Zealand while pursuing production interests in South East Asia.
This includes a 50% operating stake in the Ophir Risk Service Contract, which seeks to develop the Ophir Oil Field offshore Malaysia.
Ophir is expected to be a stand-alone development concept involving the drilling of three production wells from a single wellhead platform to produce into a leased tanker for storage and offloading of crude.
The development phase has an approved capital cost of US$135 million and first oil is expected from the field in December 2015.
It has already received and accepted a Letter of Offer for syndicated term loan facilities of up to US$118.76 million and the provision of a guarantee in favour of Malaysian state oil company Petronas for US$13.5 million.
Octanex has now been granted an ASX trading halt in relation to a proposed placement to a strategic investor.
The halt will last until the earlier of the announcement being or the commencement of trading on Thursday, 30 October 2014.
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