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Sun Resources Substantial Shareholder Hancock Prospecting Raises Stake To 19.53%

Sun Resources' (ASX: SUR) substantial shareholder Hancock Prospecting has increased its stake in the company to 19.53% from 18.48%.

This comes after it subscribed for 66,666,667 shares priced at $0.03 each, or a total of $2 million, under the company's $6.3 million share placement.

The subscription clearly highlights the support that Gina Rinehart's Hancock has for Sun.

Proceeds from the $6.3 million share placement will be used to drill three horizontal wells across the company's Woodbine Oil Play acreage in Texas.

These include its first operated well in the Normangee Oil Project as well as the first well under its joint venture with Petro-Hunt LLC, one of the world's largest privately held companies that has participated in the discovery of oil reserves in almost every major oil producing region in the U.S.

Drilling of the wells will begin from later this month.

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