Pantheon Resources PLC (AIM:PANR, OTCQX:PTHRF) has issued 9.1 million new shares at US$0.2878 (£0.2266) each to raise US$2.622 million and pay off due convertible debt before any news from its next well.
Shares will be placed with the convertible bondholders at an issue price representing a 10% discount to the preceding 10-day average, with the amount to cover both principal and interest for the quarter.
After the settlement of this repayment, the principal remaining under the convertible bond will be US$14.7 million.
Alaska-focused Pantheon said it undertook the placement to avoid a situation of potentially being unable to issue shares if it is in a closed period in relation to the drilling of the Megrez-1 well.
"It is possible that the Megrez-1 well could be receiving potentially price-sensitive information at the time that the Quarterly Repayment decision is made," it added.
David Hobbs, Pantheon’s executive chairman, said: "This was a prudent decision from a governance point of view, made at a time well before Megrez-1 reaches any targeted horizons.
“At the current time the well has set surface casing and drilling will commence once all safety protocols have been completed."