LONDON, UK: Eco (Atlantic) Oil & Gas Ltd. (AIM: ECO) introduced its intention to raise aggregate gross proceeds of as much as roughly $25million through the issue of new common shares.
The issue features a placing within the United Kingdom, Norway and sure different jurisdictions outside Canada, and a brokered private placement in Canada as much as roughly $21 million through the issue of new common shares to new and existing institutional investors at a price of £0.30 per share; and a proposed subscription by way of a private placement for new common shares on the issue price by Africa Oil Corp to raise as much as $4 million.
The net proceeds of the fairness fundraise are intended for use primarily to fund Eco’s share of the drilling of the Gazania-1 well on Block 2B offshore South Africa, estimated to be roughly US$23 million, to cowl G&G bills throughout the Group’s portfolio and license charges in Namibia and on Block 3B/4B in South Africa in addition to for general working capital purposes.
It is anticipated that drilling of the Gazania 1 well will commence in September 2022 forward of a related deadline under the licence for the Azinam Blocks. Should the drilling marketing campaign result in a producible commercial discovery, the South African authorities and a HDSA (Historically Disadvantaged South Africans) funding entity would be entitled to train sure customary rights to fairness participation within the production.
Eco Atlantic is a TSX-V and AIM quoted Atlantic Margin focused oil & gas exploration firm with offshore license pursuits in Guyana, Namibia, and South Africa. Eco goals to ship materials worth for its stakeholders through its role within the energy transition to probe for low carbon depth oil and gas in stable rising markets near infrastructure.
www.ecooilandgas.com