TULLOW Oil has sprung a rights issue to raise £30.3 million sterling, to help pay for its exploration programmes in Pakistan and Syria.

The issue, fully underwritten by Riada Stockbrokers, will be on the basis of one new ordinary share for every five ordinary shares held, at a price of 773/4p or 80p sterling.

The company said it needed the money to fund exploration and appraisal and development pro-on Tullow's Pakistani and Syrian licences.

It will also be used to identify new exploration and production opportunities in emerging oil and gas provinces in Bangladesh and India.

The market took the move as positive and Tullow shares attracted serious interest. In London, around 7.7 million shares changed hands and dealers noted "good sized" interest in Dublin. Tullow closed up 71/2p at 871/2p a share.