Business
Equity Placing
Equity Placing.
About this update from Tomco Energy Plc
[{"type":"text","content":"\n \nRNS Number : 6167S TomCo Energy PLC 26 June 2018 \n\n \n \n26 June 2018\n \nTomCo Energy plc (AIM: TOM)\n(\"TomCo\" or the \"Company\")\n \nEQUITY PLACING\n \nTomCo today announces that it has raised £650,000 (gross) by way of a placing (\"Placing\") of 13,000,000 new ordinary shares of no par value in the Company (\"Ordinary Shares\") (the \"Placing Shares\") at a price of 5.0 pence per Placing Share.\n \nThe Placing is conditional only upon admission of the Placing Shares to trading on AIM and was organised by SVS Securities plc, the Company's broker.\n \nThe net proceeds of the Placing will be used to fund the completion of the upcoming field test on the Company's Holliday block (the \"Field Test\"), update the resource statement for the Holliday Block and provide general working capital.\n \nThe Field Test will seek to build upon the successful BART Programme completed in the early 1980s and to demonstrate the commerciality of TurboShale Inc.'s (\"TurboShale\") radio frequency (\"RF\") technology and its ability to produce high quality oil at a low cost of production from the oil shale at the Company's Holliday Block. Following the appointment of the drilling contractor and the ordering of the RF generators, the Company now having finalised its work programme, expects the cost of the Field Test to be approximately US$900,000 (approximately £680,000).\n \nThe Company will also engage a competent person to produce an updated resource report for its Holliday Block. The update will involve a desktop calculation being performed with the aim of converting the current JORC Measured Resource of 126 million barrels of recoverable oil to a SPE PRMS resource. The TomCo Board believes this is a more relevant measurement of the resource for the Holiday Block in relation to the utilisation of TurboShale's RF technology.\n \nFollowing completion of the Placing, the Director's believe that the Company will have sufficient working capital through to late Q4 2018.\n \nAdmission\n \nThe Placing Shares will rank pari passu with the existing Ordinary Shares and application will be made for the Placing Shares to be admitted to trading on AIM (\"Admission\"). It is expected that Admission will become effective and dealings in the Placing Shares will comm...