LONDON (Alliance News) - TomCo Energy PLC Monday said it has agreed with Windsor Capital Partners Ltd to reinitiate the liquidity facility agreement and has amended the terms by introducing a floor price of 2 pence a share and limiting the maximum net amount raised to GBP1 million.
The oil shale exploration and development company said it has issued and allotted 100 million shares to Windsor in exchange for a promissory note.
In a statement, TomCo said it would use the funds to advance its Holliday Block project, and may use some to acquire additional leases.
"The board is pleased that the amended facility is expected to enable TomCo to be fully funded through to the Red Leaf/Total JV Final Investment Decision, without the fear of diluting existing shareholders or adversely affecting the market," TomCo Chief Executive Paul Rankine said.
TomCo shares were up 1.7% at 1.78 pence Monday morning.
By Steve McGrath; stevemcgrath@alliancenews.com; @SteveMcGrath1
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Tomco Energy (TOM)