Red Sky Energy non executive chairman increases stake in company

Red Sky Energy (ASX: ROG) non-executive chairman Gerrit de Nys has increased his indirect holding in the company.

De Nys snapped up 1 million shares at $0.007 in an on-market trade, for a total consideration of $7000.

This increases De Nys’ total stake in the company to an indirect holding of 4 million shares.

He also holds 37.5 million unlisted options, at an exercise $0.0225, expiring on March 31, 2016.

Red Sky Energy is currently in a very interesting position, and just last month secured a $3 million funding facility from U.S. based Investment Fund YA Global Master SPV Ltd.

With the facility, Red Sky has sufficient cash reserves to fund the proposed Talma pilot test at the company’s shallow gas discovery at Kangaroo Creek in the Clarence Moreton Basin, in north east New South Wales.

Red Sky’s immediate priority is the drilling of the Talma pilot well.  A recent Resource Study concluded the Kangaroo Creek sandstone gas discovery to be a highly prospective lead.

The company plans to drill a pilot production well at Talma to perform a long term production test to determine the magnitude of the resource.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/20552/red-sky-energy-non-executive-chairman-increases-stake-in-company-20552.html