Middle East

Tower Resources Raises $ 2 Million to Cover Work

Tower Resources, an oil and gas company focused on Africa, is £ 1.5 million (about $ 2 million) through the issuance and subscription of 576,923,077 new common shares of 0.001p each at a price of 0.26 pence per share. Announced that it has procured. % To the closing price on January 13, 2022.

Novum Securities Limited (“Novum”) served as the sole broker for this deployment. The company’s chairman and chief executive officer, Jeremy Asher, has signed an agreement to underwrite a total of 9,615,384 new common shares for £ 25,000.

The company said it will use its net revenue to advance its portfolio and cover future working capital requirements.

This includes financing maintenance and planning costs in Cameroon, maintaining long-term lead inventory and contracting until farm out is complete in preparation for drilling and testing of the NJOM-3 well. Make payments and prepayments to the vendor. ..

To be on the safe side, Tower Resources said in September 2021 that the proposed farm document for sharing in the Tari offshore block of Cameroon was completed and submitted to national authorities for approval.

As reported in August, Tower Resources has agreed to cultivate a 49% non-business interest in the Thali Production Sharing agreement with Beluga Energy Limited. Farmout covers US $ 15 million towards the cost of the NJOM-3 well, which the tower plans to excavate in Taliblock.

Returning to revenue from deployment, it will also be used for the cost of working programs in Namibia (for license PEL 96). The tower will conduct a watershed modeling survey based on the latest data from recent drilling in the area adjacent to PEL96. area.

In addition, Tower will spend part of the cost of the work program in South Africa (Total-operated block 11B / 12B for the Algoa-Gamtoos license operated by 50% partner New Age Energy Algoa (Pty) Ltd. Adjacent to). The licensing partner is preparing to acquire 3D seismic data for 2022/23. Revenue is also used for general working capital purposes.

“The placement is, among other things, subject to the placement shares being permitted for trading on AIM. The placement shares have been filed for permission to be traded on AIM, the placement shares have been approved and the placement shares have been approved. The transaction will begin at 8 am on or around January 21, 2022. “

We issue a broker warrant in favor of Novum, granting us the right to acquire 7,058,824 shares of common stock in two years at a price of 0.425p per share, which is a 16% premium of the closing price on January 13, 2022. Did. ..

Jeremy AsherThe Chairman and CEO said: , Operated by Shell and TotalEnergies, respectively.

“But while we wait for the farm out to complete, we need to continue to prepare for drilling operations and keep our current equipment inventory ready for drilling. We also move forward in Namibia and South Africa. We want to continue. We can take advantage of both the economic improvement of our acreage and the more positive news around us. We strive to minimize the stock problem. But at this point we need to raise capital. “

https://www.oedigital.com/news/493494-tower-resources-raises-2m-to-cover-working-capital-needs Tower Resources Raises $ 2 Million to Cover Work

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