Australia-listed energy company, Invictus Energy Limited has closed on a US$ 12.75 million private placement which was oversubscribed at an issue price of US$0.12 per share to support its upcoming Phase 2 exploration and appraisal campaign in Zimbabwe’s Cabora Bassa Basin, the group announced this morning.
The exploration company has now raised a combined US$35.4 million since April – placing the Company in a strong financial position as it prepares to drill the Mukuyu-2 appraisal well.
“Invictus has been overwhelmed by the support of investors in recent months as we prepare to embark on the next phase of our potentially country changing exploration and appraisal program that could provide Zimbabwe with future energy security,” said Managing Director Scott Macmillan.
“The Company in a strong financial position as we prepare to drill the Mukuyu-2 appraisal well, which is a follow up to the play opening Mukuyu-1/ST1, which proved the presence of light oil, gas and helium with the very first well drilled in the basin.”
The Placement has been strongly supported by new and existing institutional and sophisticated investors.
The Placement will consist of US$9.75 million placed under the Company’s current remaining placement capacity pursuant to Australia Stick Exchange Listing rules and an additional US$3 million subject to shareholder approval of the refreshment of the Company’s placement capacity at the upcoming Extraordinary General Meeting to be held on 7 June 2023.
“The appraisal well data acquisition program has been upsized to include additional tools to enhance the evaluation and acquire high-quality open-hole wire line log data and fluid samples, with the aim of formally declaring a discovery and placing the Company on a pathway to development,” said Macmillan.
“We remain on track to spud Mukuyu-2 in the third quarter of CY2023, and I look forward to providing further updates as we finalize the well location and award well services contracts.”
Proceeds from the exercise of the Attaching Options are expected to provide the Company with meaningful additional capital.
The New Shares are expected to be issued on 14 June 2023, with the Attaching Options to be issued as soon as practical thereafter, subject to shareholder approval.
Canaccord Genuity (Australia) Limited and PAC Partners acted as Joint Lead Managers to the Placement.
Invictus last month confirmed the presence of light oil, gas condensate and helium at its Cabora Bassa project in Zimbabwe.
