Union Jack Oil PLC - UK-focused onshore oil and gas exploration company - Raises GBP7 million from oversubscribed placing of 4.38 billion new shares at a price of 0.16 pence each. The fundraising comprises a placing of 4.13 billion new shares and a subscription of 247.8 million new shares. Union Jack notes it is already funded for the imminent drilling at West Newton and for the associated extended well test activities, and the cost to first oil production at the Wressle development that is expected to come onstream in the fourth quarter. The company intends to continue to invest in its conventional flagship projects and in its wider licence interests.
Executive Chair David Bramhill said: "The board is delighted with the result of this oversubscribed fundraising and thanks existing shareholders for their ongoing support and welcomes new investors to the share register.
"We also believe there will be attractive acquisition opportunities available from the ongoing fallout resulting from Covid, energy prices and Brexit."
Current stock price: 0.17 pence; down 8.1% on Thursday
Year-to-date change: up 6.3%
By Paul McGowan; paulmcgowan@alliancenews.com
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Union Jack (UJO)