88 Energy collapses after Aussie suspension

Shares in 88 Energy collapsed after they were suspended in Australia but not on London's AIM when the company announced it was poised to being a capital raising.

The company announced that its shares had been placed in a trading halt on the Australian Securities Exchange (ASX) "pending the release of an announcement in relation to a potential capital raising".

But as the shares in the company, whose main project is a shale-oil exploration opportunity onshore AlaskaIce known as Project Icewine, continue to trade on AIM during the period, leading to them losing 19.2% to 0.53p.

In June, 88 Energy announced that it had conditionally agreed with Bank of America the provision of a US$50m funding facility that would require the bank to approve funding for specific projects.