Rockhopper Exploration PLC - Salisbury, England-based oil & gas exploration and production company - Plans to raise around USD4.5 million through a placing and subscription, at a price of 7.0 pence per share.
Proceeds from the fundraise will go towards providing the company with enough working capital up to the end of June 2023.
In addition, Rockhopper plans to raise up to USD5 million, with proceeds also going towards providing working capital.
"The strategy and focus of the board is to maximise the likelihood of project sanction at Sea Lion. At current oil prices, the board believes the potential value creation to shareholders by sanctioning Sea Lion, a 500 million barrel oil field with significant upside, is highly material. In order to pursue this strategy, the company requires sufficient funding to pay its reduced corporate costs, licence fees, costs associated with the completion of the Navitas Transaction and various other costs not covered under the Navitas loan agreement," said Chief Executive Officer Sam Moody.
Current stock price: 7.81 pence
12-month change: down 22%
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Rockhopper (RKH)