TomCo's oil shale technology company TurboShale has been unsuccessful in its efforts to raise up to US$1.5 million by way of a private placing of equity.
The net proceeds would have been to be applied to its laboratory testing programmes, patent applications and to general working capital.
Following receipt of the £100,000 unsecured loan from Christopher Brown announced on 2 January 2018, the company currently has approximately £160,000 of cash, which is sufficient for its present requirements until the latter part of H1 2018.
TomCo and TurboShale are currently reviewing the funding requirements and options for securing funding for TurboShale, which could include TomCo seeking financing in order to provide funding directly to advance TurboShale.
However, TomCo now does not anticipate that its current loan to TurboShale of approximately US$130,000 will be repaid in the short term or that the fees due to TomCo pursuant to the management agreement with TurboShale will become payable on completion of the next funding round for TurboShale as was to be the case.
At 9:02am: (LON:TOM) TomCo Energy PLC share price was -0.87p at 2.63p