Chariot Ltd on Monday said it plans to raise $18 million through a placing, subscription and open offer.
The Africa-focused transitional energy company said it plans to raise $15 million through a placing and subscription. It also announced an open offer of up to $3 million.
The shares have been priced at 14 pence per share, which represents a 10% discount to their closing price of 15.60p each on Friday.
Shares in Chariot closed down 8.6% at 14.26p in London on Monday.
Chariot said it plans to use the proceeds from the fundraise for near-term onshore drilling and development planning on a new onshore Moroccan licence, which it said it expects to be awarded imminently, as well as ‘new ventures and working capital.’
‘We have made significant strides across our gas portfolio throughout the past year, especially in progressing the Anchois development and we are now in the final stages of negotiating partnering on our licence areas offshore Morocco following a highly competitive process,’ said Chief Executive Officer Adonis Pouroulis.
‘Our overriding objective remains to build further value for shareholders and we are therefore looking to raise funds for a new licence onshore Morocco as we continue to expand our strategic footprint in-country. This licence will give Chariot near-term drilling opportunities with the potential to accelerate Chariot’s timeframe to first gas.’
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