Borders & Southern Petroleum PLC, the independent oil and gas explorer focused offshore the Falkland Islands is raising £2.5 million to advance studies in its wholly-owned Darwin Gas Condensate discovery.
It raises £1.85 million through a firm placing of 105.7 million shares, £350,000 via conditional subscription direct with Chair Harry Dobson at 20.0 million shares and £ 300,000 via conditionally placing 17.1 million shares.
This fundraising will allow us to advance further technical and commercial studies for a potential appraisal and development of Darwin via a conventional floating production storage & offloading and phased development concept, Chief Executive Officer Howard Obee was quoted.
CEO Obee adds: This is a period of elevated world-wide energy prices and increasing global exploration & production activity and Darwin is a large undeveloped discovery with attractive scoping economics. We look forward to reporting on the phased development concept as our studies progress.
Current stock price: 2.01 pence, down 36% on Wednesday
The announcement by Borders & Southern comes at the same time that Rockhopper Exploration, another Falklands based oil and gas company managed to have its South Falkland Basin licenses extended by the Falklands Government.
Commenting on the extension CEO Samuel Moody said that the new extension will enable us to progress our understanding of these highly prospective licenses in the south - in particular, the PL011 license which adjoins the Borders & Southern Darwin discovery - which offer the opportunity for future regional development in the Falklands.