88 Energy Limited - Placement to Raise A$6.75 million
Placement to Raise
Funds raised pursuant to the Placement, together with the Company's existing cash reserves (
This will include strengthening the Company's balance sheet and to provide the Company with sufficient capital to:
· fund potential costs of the Charlie-1 above the Premier Oil carry;
· fund lease rental payments due on Alaskan acreage;
· fund interest payments due on the Company's debt facility;
· fund new venture opportunities; and
· finance the Company's ongoing working capital requirements and general and administrative overheads.
Commenting on the Placement,
"Completion of this placement positions the Company strongly as preparations continue for the drilling of the Charlie-1 (Malguk-1 appraisal) well, which will test multiple stacked conventional targets, as well as the HRZ shale, in Q1 CY2020. Charlie-1 will be funded up to
Drilling the Charlie-1 well will be a pivotal moment for the Company as it seeks to unlock the large potential of the conventional plays on the acreage.
We would like to thank our advisers and shareholders for their continued support as we enter into this critical phase."
The issue of the New Ordinary Shares is not subject to shareholder approval as the issuance will fall within the Company's placement capacity pursuant to ASX Listing Rule 7.1A and is conditional only on admission of the New Ordinary Shares to trading on both the ASX and AIM ("Admission"). A total of 540,000,000 shares will be issued pursuant to 7.1A. The New Ordinary Shares, which will rank pari passu with the existing ordinary shares in the Company, with Admission and settlement scheduled for Friday,
Following the issue of the New Ordinary Shares, the Company will have 6,871,540,324 ordinary shares in issue, all of which have voting rights. The figure of 6,871,540,324 ordinary shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or change their interest in, the Company.
Media and Investor Relations:
Email: [email protected]
Finlay Thomson, Investor Relations Tel: +44 7976 248471
Dale Bryan Tel: + 61 8 9268 2829
Cenkos Securities Tel: + 44 131 220 6939
Neil McDonald/Derrick Lee
This information is provided by RNS, the news service of the
Quick facts: 88 Energy Ltd
Market Cap: £33.51 m
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