(MENAFN- ProactiveInvestors - N.America) Northcote Energy Ltd (LON:NCT) raised 500000 through a placing of new shares with the funds earmarked for the group's Mexico venture.
Proceeds from the placing will be used for the waste remediation facility in Comalcalco which is now expected to be complete in around 90 days.
The company also highlighted that the plant at Comalcalco is now planned to be larger. The capacity is anticipated to be 20% higher than originally contemplated it said.
At Comalcalco via a joint venture with Mexican partner Gaia Ecologica Northcote will provide waste recycling and remediation services to local industry. The work will include the recycling of oil cuttings and the provision of other oil field services to Mexico's reopening energy sector.
Northcote noted that work on the Comalcalco plant had recently slowed as the company's attention focussed on the completion of the Lutcher Moore #20 well at Shoats Creek Louisiana.
But now Northcote intends to invest US$380000 immediately to move forward the completion of the Mexican project.
Randall Connally Northcote managing director said: 'We continue to believe that Mexico is a major part of Northcote's future growth and are excited to be moving forward again with respect to completion of the remediation facility.
'We are committed to Mexico for the long haul and plan to leverage our existing investment and operations to build a substantial business providing services to the Mexican energy sector.'
Once up and running the facility will operate continuously - 24 hours per day seven days per week - with a processing capacity of 845 tons per day up from the prior estimate of 700 tons per day.
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