Predator Oil & Gas Holdings PLC (LSE:PRD) fell 20% on Friday, which was to be expected after the Morocco-focused group announced a conditional placing of 15.5 million new ordinary shares.
Shares were placed at 5.5p each in order to raise £2mln to fully funds its MOU-3 well project.
Executive chairman Paul Griffiths commented: "The additional funding announced today allows us to advance the drilling of MOU-3 to target for the first time all prospective and contingent gas resources.
“I am delighted to be supporting the Company and its shareholders through a loan of shares to enable MOU-3 to proceed earlier than originally envisaged based on attractive risk versus reward metrics.”
The announcement pulled shares down to 5.98p with a market capitalisation of £23mln as of 11.55am, March 17.