Provaris Energy Ltd (ASX:PV1, OTC:GBBLF, FRA:WS90) has received firm commitments to raise $1.325 million (before costs) through an oversubscribed placement of new fully paid ordinary shares to new and existing institutional, sophisticated and professional investors.
The money will be used to advance the company's 2026 work program, including hydrogen prototype tank development and associated Class Approval workstreams, CO₂ program activities and corporate costs.
Provaris noted the LCO₂ tank front-end engineering design (FEED) program and related Class Approval workstreams remain funded by Yinson under existing arrangements.
Use of funds
Provaris intends to apply the funds to:
- Hydrogen prototype tank and Class Approval program, including operating costs for its Robotic Innovation Centre in Norway
- Liquid CO₂ (LCO₂) tank development and Class Approval, being progressed with Yinson, as well as ongoing partner and product development activities
- Working capital, business development and corporate costs
The company is developing solutions it says are aimed at capital-efficient, scalable maritime transport and storage of hydrogen and CO₂, aligning with European decarbonisation requirements.
Managing director and CEO Martin Carolan said the placement support from new investors and existing shareholders “reinforces confidence” in the company’s strategy and recent technical progress.
“The board would like to thank the support from both new investors and existing shareholders which reinforces confidence in Provaris’ strategy and technical progress we have made in recent quarters. This placement supports continued momentum across our hydrogen and CO₂ programs while we progress partner-aligned funding initiatives.”
Placement terms
Under the placement, Provaris will issue 132.5 million new shares at $0.01 per share.
The issue price represents a 9.1% discount to Provaris’ closing price on March 2, 2026, and a 20% discount to the company’s 15-day VWAP.
Each three new shares issued will be accompanied by 1 free-attaching unlisted option, with options exercisable at $0.03 and expiring on February 20, 2027.
The placement will be completed in a single tranche. Provaris expects settlement on Tuesday, March 10, 2026, with the new shares ranking equally with existing ordinary shares.
Ethicus Advisory Partners and Sharewise Capital acted as joint lead managers to the placement.