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Placing to raise £1.5 million and loan repayment
Placing to raise £1.5 million and loan repayment.
About this update from Tower Resources Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 2277I\n Tower Resources PLC\n 11 August 2021\n \n \n \n \n THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN, INTO OR FROM THE UNITED STATES, CANADA, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA OR JAPAN OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A BREACH OF THE RELEVANT SECURITIES LAWS OF SUCH JURISDICTION.\n \n \n This announcement does not constitute a prospectus or offering memorandum or an offer in respect of any securities and is not intended to provide the basis for any decision in respect of Tower Resources PLC or other evaluation of any securities of Tower Resources PLC or any other entity and should not be considered as a recommendation that any investor should subscribe for or purchase any such securities.\n \n \n 11 August 2021\n Tower Resources plc\n Placing to raise £1.5 million and appointment of Joint Broker\n Planned repayment of Pegasus Petroleum Limited Loan Facility\n \n Tower Resources plc (the \"Company\" or \"Tower\" (TRP.L, TRP LN)), the AIM listed oil and gas company with its focus on Africa, is pleased to announce that it has raised £1.5 million via a placing of 352,941,176 new ordinary shares of 0.001p each (the \"Placing Shares\") at a price of 0.425 pence per Placing Share\n (the \"Placing\"), a discount of 14% to the closing share price on 10 August 2021.\n \n \n Novum Securities Limited (\"Novum\"), has acted as sole broker on this Placing and will serve as Joint Broker to the Company going forward.\n \n \n The Company will use the net proceeds of the Placing to repay the US$750,000 loan facility from Pegasus Petroleum Ltd (whose ultimate beneficial owner is the Company's Chairman and CEO, Jeremy Asher) together with accrued interest and fees of US$102,500, and to cover working capital requirements going forward, including:\n \n \n · \n Work programme costs in Namibia (for license PEL 96) and South Africa (for the Algoa-Gamtoos license operated by 50% partner New Age Energy Algoa (Pty) Ltd, which adjoins the Total-operated blocks 11B/12B);\n \n \n · \n Funding maintenance and planning expenditure in Cameroon to maintain the long-lead items inventory ready for the commencement of drilling and testing of the NJOM-3 well, pending completion of the farm-out announced yesterday;\n \n \n · \n General...