MercoPress. South Atlantic News Agency

Falklands Borders & Southern raises £1.5 million to advance development of the Darwin Gas Condensate discovery

Harry Baker, Borders & Southern CEO said they are “seeking a partner to move Darwin forward by either testing Darwin East or drilling another target.”

Independent oil and gas company, with assets offshore Falkland Islands, Borders & Southern Petroleum, (AIM: BOR) has announced it has raised £1.5 million, before expenses to advance the development of its 100% owned Darwin Gas Condensate discovery offshore the Islands. The Fundraising comprises a placing and a subscription by a majority of the Company's directors.

 This involves an aggregate of 100,000,000 new ordinary shares in the Company at a price of 1.5 pence per new Ordinary Share. The Issue Price is an approximate 16.67% discount to the Company's closing mid price of 1.8 pence on first October 2024. The £1.5 million raised through the placing of 69,666,666 ordinary shares at the Issue Price and subscription of 30,333,334 ordinary shares.

B&SP explains that the fundraising received significant board support from a majority of the board with Harry Dobson (Chairman), Harry Baker (CEO), and non-executive directors Sean Guest and Will Hodson all participating and subscribing for a total of £505,000, demonstrating continued alignment with shareholders and commitment to, and belief in, the future success of the business.

Additionally the Company has engaged a new international advisor to assist in moving the Darwin project forward towards appraisal of the Darwin discovery and is encouraged thus far by progress on the recently re-launched farm-out process
The proceeds of the Fundraising will be used to fund the Company's License fees, Discovery Area fees, technical and commercial studies, general & administrative expenses and, more generally, to advance the Company's Darwin project towards appraisal of the Darwin discovery.

Harry Baker, Chief Executive Officer of Borders & Southern, commented: “We are seeking to bring in a partner to move Darwin forward by either testing Darwin East or drilling another target and, as previously stated, have engaged a new International advisor to assist in this process. The funds raised will assist the Company in progressing this. We are encouraged by progress on the recently re-launched farm-out process thus far and look forward to providing further updates in the coming months.

 ”We only raised one year's overheads as we believe that the Company can make progress on the farm-out which would place it in a much stronger position in the future”.