G2 Energy Corp (CSE:GTOO, OTC:GTGEF) has announced a new financing round designed to boost production at its Permian Basin asset.
The firm is launching a non-brokered private placement consisting of between 30 million and up to a maximum of 43.25 million units at C$0.02 per unit for total proceeds of a minimum of C$600,000 and up to C$865,000.
In a statement, the Vancouver-based energy company said it plans to use the proceeds to add additional production of around 120 barrels of oil equivalent per day (boepd) on the Masten Unit.
The program includes returning two wells to production, workover on four wells and basic maintenance, according to G2.
Under the term sheet, each unit consists of one share and one warrant that entitles the holder to purchase a share at a price of $0.05 for a period of 24 months from the date of the closing.
In May 2022, G2 acquired its first producing asset, the Masten Unit in the Permian Basin, Texas. G2 is targeting top tier projects with operating netbacks and infrastructure facilities, which will fast track overall oil and gas production growth.
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