PriceSensitive

Vysarn signs $16M deal for water-well drilling

Industrial, Materials
ASX:VYS      MCAP $110.3M
11 April 2019 00:34 (AEST)

Image Sourced Vysarn Limited

Vysarn has entered a $16 million agreement to acquire water well drilling assets to conduct hydrogeological drilling business.

The Australian mining company has entered the agreement with Pentium Hydro and Ausdrill.

Water well drilling consists of drilling a hole in the ground to extract resources such as groundwater, natural gases, and petroleum.

Ausdrill currently has 15 drill rigs which allow for 130,000 pounds pull-back capacity making it one the largest and deepest water well drilling companies.

The partnership includes water well drilling, cavity grouting and mine services that are critical to dewatering activities.

Vysarn intends to raise $5 million from 92,592,593 shares to sophisticated and professional investors at $0.054 per share.

This money will be used to allow Vysarn to pursue its strategy, emerging form suspension and facilitating the re-listing on the ASX.

On competition of the agreement, current directors Faldi Ismail and Nicholas Young will resign from the board with experienced drilling executives Sheldon Burt and Chris Brophy to be appointed.

Please find announcement attached here: https://hotcopper.com.au/data/pricesensitive/announcements/ASX/6A926637_VYS.html

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