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Placing and Subscription to raise £2.5 million
Placing and Subscription to raise £2.5 million.
About this update from Sunda Energy Plc
[{"type":"text","content":"\n \nRNS Number : 0925D Baron Oil PLC 14 February 2020 \n\nMarket Abuse Regulation (MAR) Disclosure\nCertain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement\n \n14 February 2020\nBaron Oil Plc\n(\"Baron\" or \"the Company\")\nConditional Placing and Subscription to raise £2.5 million\n \nBaron Oil Plc (AIM:BOIL), the AIM-quoted oil and gas exploration and production company, focused on opportunities in SE Asia, Latin America and the UK, is pleased to announce that it has raised £2.5 million by way of a Conditional Placing and Subscription of 2,500,000,000 new ordinary shares of 0.025p each (\"New Ordinary Shares\") at a price of 0.1 pence per New Ordinary Share (the \"Placing Price\") (together, the \"Fundraising\"). Turner Pope Investments (TPI) Limited acted as sole placing agent.\nIt is intended that the proceeds of the Placing will largely be used to fund Baron's share of the ongoing TL-SO-19-16 PSC (\"Chuditch PSC\") Work Programme and the drilling of the onshore El Barco-3x well in Peru, as well as providing additional working capital. As previously announced, the Chuditch PSC has a gross estimate made by Shell of Mean gas in place of 2,320 billion cubic feet (\"BCF\") and gas recovery potential, based on Shell's original estimates in the range of 55% to 75%, in the order of 1,276 to 1,740 BCF, considered by Baron to be Prospective Resources but not SPE PRMS compliant. In Peru, Baron hopes to drill El Barco-3x later this year targeting 2U (P50) SPE PRMS compliant unrisked recoverable Prospective Resources of 8.5 million barrels of oil recoverable from the higher risk Amotape Basement and 14.7 BCF of gas recoverable from the low risk, shallower Mancora Sand.\n \nThe Fundraising\nThe Fundraising comprises a placing of 2,442,500,000 New Ordinary Shares (the \"Placing\") and a subscription of 57,500,000 New Ordinary Shares (the \"Subscription\"). The Company has utilised its existing share authorities under the disapplication of pre-emption rights to issue 735,714,286 New Ordinary Shares for settlement and admission on 20 February 2020 (the \"Tranche 1 Placing Shares\") with the balance of 1,764,285,714 New Ordinary Shares (the \"Tranche 2 Placing Shares...