Dart Energy Limited (ASX:DTE) Announce Non-Renounceable Entitlement Offer To Raise A$100M

Brisbane, April 18, 2011 AEST (ABN Newswire) - Dart Energy Limited (ASX:DTE) today announced the launch of an equity raising of approximately A$100 million.

The equity raising is being conducted by way of a fully underwritten 5 for 22 accelerated non-renounceable entitlement offer to all eligible shareholders to raise approximately A$100 million. The Entitlement Offer comprises an institutional component ("Institutional Entitlement Offer") and a retail component ("Retail Entitlement Offer"). Dart's largest shareholder, New Hope Corporation Limited (ASX:NHC), is fully supportive of this transaction and has committed to subscribe for its entitlement in full.

Use of proceeds of the offer

Dart has a global portfolio of quality coal bed methane assets in growth regions of Asia, Australia and Europe where significant value upside exists underpinned by material, unsatisfied gas demand growth and advantaged pricing.

Dart is fully funded to meet its minimum committed expenditure in 2011, but with additional funding has opportunities for accelerated asset exploration, appraisal/pilot drilling and early development to the point where funding options other than equity become viable.

Dart Chief Executive Officer, Mr Simon Potter, said: "This capital raising will fully fund Dart's portfolio wide programme. The programme will enable us to rapidly mature our substantial resource base, establish commerciality at multiple projects, and see early cash-flows. Our strategy is focussed on operating in markets with strong demand and where attractive margins are available, and our planned work programme over the next year to 18 months will enable us to pursue step-change organic growth initiatives at a time when the market is actively pursuing alternative energy investments."

"Dart has established a track record of delivery against clear objectives that we set and regularly communicate to the market. At the time of Dart's listing in July 2010, we provided guidance that we would be approaching the market again in the first half of 2011, by way of an entitlements issue, and the capital raising being initiated today is consistent with this intent".

"We are excited by the quality of the opportunities within our portfolio of assets and are confident that the work programme and initiatives we have planned for the next 12 to 18 months will build substantial value for our shareholders."

Overview of the Entitlement Offer

Eligible shareholders with a registered address in Australia and New Zealand will be invited to subscribe for 5 new shares ("New Share") for every 22 existing Dart ordinary shares held at 7:00pm (AEST) on 21 April 2011 ("Record Date"), at an issue price of $0.75 per New Share ("Entitlement").

The issue price of $0.75 per New Share represents a 10.7% discount to the theoretical ex-rights price ("TERP") and a 12.8% discount to the closing price of Dart shares of $0.86 on 15 April 2011. Entitlement Shares issued will rank equally with existing Dart shares.

The Entitlements are non-renounceable and will not be tradeable on the ASX or otherwise transferable. Shareholders who do not take up their Entitlements in full will not receive any value in respect of those Entitlements that they do not take up. Shareholders who are not eligible to receive Entitlements will not receive any value in respect of Entitlements they would have received had they been eligible.

For the Institutional Entitlement Offer, New Shares equal in number to those not taken up by Dart's eligible institutional shareholders and those which would otherwise have been offered to ineligible institutional shareholders will be offered for subscription to eligible institutional shareholders and selected institutional investors through a volume bookbuild process at the issue price.

Eligible retail shareholders will receive a retail offer booklet including a personalised Entitlement and Acceptance Form in relation to the Retail Entitlement Offer which will provide further details of how to participate.

For the complete Dart Energy announcement including indicative table, please refer to the following link:
http://www.abnnewswire.net/media/en/docs/231238.pdf

Contact

Mr Simon Potter CEO and Managing Director Tel: +65-6508-9840 Mr Shaun Scott Executive Director Tel: +61-7-3012-4000 Mr Eytan Uliel Chief Commercial Officer Tel: +65-6508-9840