Pooled Development Fund Operational Update
Sydney, May 15, 2013 AEST (ABN Newswire) - MEC Resources Ltd (
ASX:MMR) wishes to comment on recent publicity regarding a possible phase out of the Australian Federal Government's Pooled Development Fund ("PDF") program.
As at the date of this announcement, the Federal Government has not released details of how a phase out may occur, what the phase out period may be, or what the implications may be for investors who invested in PDFs, such as MEC Resources, on the understanding that any capital gains on their investments and any dividends received would be tax free.
Given the current lack of clarity and the fact that the Federal Government has only recently commenced the process of engaging with stakeholders in relation to a possible phase out, MEC Resources considers it is unlikely that legislation will be enacted to implement a phase out before the Federal Election in September 2013.
MEC will continue to update the market as further information becomes available.
About MEC Resources Limited
MEC Resources (ASX:MMR) aims to achieve maximum capital appreciation by early stage investing into small and medium-sized energy and minerals exploration companies with strong growth potential and a well-defined exit strategy, such as an initial public offering or acquisition.
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