Eco (Atlantic) Oil & Gas has raised C$14m through a subscription by Africa Oil Corp.
Eco said the price of the subscription shares represented a premium of approximately 28% to the closing mid-market price of 0.375c/22.25p on 10 Nov.
AOC will hold an interest in Eco of approximately 19.77% on admission.
Eco said it was expected that AOC president and chief executive Keith Hill would be appointed to the board of Eco as a non-executive director and Derek Linfield, a non-executive director, would step down.
Eco said the Funds raised would be used to actively identify, negotiate and contract new oil and gas exploration assets and conduct the initial work programmes and it had entered a strategic alliance with AOC to bid jointly on any new assets or ventures proposed to be acquired by Eco.
At 8:35am: (LON:ECO) Eco Atlantic Oil Gas Ltd Com Shs Npv Di share price was +3.5p at 25.75p