Angus Energy PLC (AIM:ANGS) has said it is raising £7mln to accelerate its field and development production.
The onshore oil and gas development company said it intends to raise roughly £2mln through the issue of 115mln ordinary shares to institutional investors.
A further 316mln shares will be issued via a direct subscription to raise £5mln at a price of 1.65p, representing an 11% discount to the closing price on 16 December.
Angus said the funds will be used to accelerate its field development and production, including the development of storage at its Saltfleetby facility. Additionally, the fundraising will cover cost overruns and hedge payments.
Angus said that a second compressor has arrived onsite at Saltfleetby and is expected to be operational during January.
As well as that, Angus said the sidetrack well is currently being drilled and is expected to be completed in January despite weather issues.
Angus also said it continues to search for both inorganic and organic growth opportunities.