Far East Energy Corp. is a company that is starting to turn the heads of investors on Wall Street. Based in Houston, Texas and with several offices throughout China, Far East Energy is focused on coal-bed methane exploration and development throughout China. Today, Far East Energy today announced that gas production from the Shouyang Block in the Shanxi Province of China has surpassed one million cubic feet per day.
Leading the team at Far East Energy is Michael R. McElwrath who serves as the corporation’s President and CEO. Commenting on the production milestone, McElwrath was quoted as saying, “In the past eight months, production has doubled, and more importantly, based on historical production data of other properties with similar characteristics, we would expect it to double again and to perhaps triple in the next four months. Our pilot area has reached the stage at which high permeability coal seams often begin to exhibit geometric production increases, and we are hopeful that we will see that kind of growth in production by year-end.”
To go along with this production milestone, Far East Energy also announced they have completed the sale of approximately 105.5 million shares of common stock at $0.33 a share. The aggregate gross proceeds of this sale are over $34, bringing in a stellar amount of capital which will help the company continue to expand and finance current operations.
Commenting on these funds, McElwrath stated, “Not only are we pleased with the quality of the investor group, which consists primarily of several large, long-only mutual funds, but we are also pleased that the funds were raised at a minimal discount to market and with no warrants.”
Currently, the Far East Energy Corporation is trading in the $0.38 range. With these announcements and a strong presence in place, Far East Energy is a company to keep an eye on.
To learn more about the Far East Energy Corporation, visit the company website at: www.fareastenergy.com.