President Energy places 5.5m open offer shares
President Energy, an oil and gas producer, has announced the placing of just over 5.5m open offer shares at 20p each, representing around 27.69 per cent of the shares offered on September 12th.
President Energy, an oil and gas producer, has announced the placing of just over 5.5m open offer shares at 20p each, representing around 27.69 per cent of the shares offered on September 12th.
The transaction raised a total of £24.28m, with a further £3.75m conditionally raised following the completion of President Energy's farm-in agreement, under which it will earn a 59% and 60% interest in the Pirity Block and Demattei Block, respectively, in Paraguay.
In total, 92.4m shares will be admitted to trading on AIM on Monday October 1st.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Peter Levine, Chairman of President said: "We are delighted to have successfully raised these funds, which allow us to progress with the development of our assets in Paraguay, the acquisition of which is due to complete shortly.
"By our estimates the combined blocks in Paraguay have a gross risked recoverable resource potential of greater than 150m barrels, with a net success case NPV10 estimated at over $25 per barrel, thus giving over net $2bn of value on that estimated success basis, if President earns its full working interests. With funding and the right team now in place, we can now concentrate on developing this highly prospective and company transforming acreage."
The share price rose 0.61% to 20.50p by 13:08.
NR
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
Energy bills to rise by 1.2% in January 2025
Energy bills are set to rise 1.2% in the New Year when the latest energy price cap comes into play, Ofgem has confirmed
By Dan McEvoy Published
-
Should you invest in Trainline?
Ticket seller Trainline offers a useful service – and good prospects for investors
By Dr Matthew Partridge Published