NZ Oil and Gas provides funding to Pike River Coal

WELLINGTON Nov 26 (Reuters) - New Zealand Oil and Gas NZO.NZ says it will provide the balance of a short-term funding facility to its 30 percent subsidiary Pike River Coal PRC.NZ in the wake of an explosion that killed 29 miners and halted production.

NZOG said it would provide the NZ$13 million ($9.8 million) balance of a NZ$25 million facility it had agreed with Pike river in September.

The company said it would extend the repayment date and also put a 90 day standstill period on US$28.9 million it holds in secured convertible bonds.

A second explosion at the mine on Wednesday extinguished any hopes the men might have survived an earlier explosion and cast doubt over the immediate future of the mine. [ID:nSGE6AO005] Pike River's board is due to meet on Friday to consider future options for the mine. [ID:nSGE6AO022] ($1=NZ$1.32) ((Wellington newsroom tel 64 4471 4234, fax +64 4 4736 212, wellington.newsroom@reuters.com))