() was in focus yesterday as it revealed it was raising £3mln of new capital through a share issue, with the cash earmarked for programmes in the Paradox basin, Utah.
The company is issuing 75 mln new shares to new and existing investors at a price of 4p, compared to Thursday’s closing price of 5p.
The company said the funds will be used to complete the 3D seismic survey in Utah which will set up the group for future drill programmes.
“The board is delighted to have completed this transformational fundraise to fully finance the 3D seismic programme, and thanks new and existing investors for their support, albeit at a discounted valuation,” said Matthew Idiens, Rose’s chief executive.
Also on Friday, () told investors it is working to start production at its Brockham field in the south of England as soon as practical, meanwhile, efforts at the Lidsey field target a start-up in October.
At Brockham, the British oil junior is awaiting approval of an addendum to the field development plan, and today, on September 22, the company acknowledged that it will miss its prior target of starting production “by the end of the summer”.
Elsewhere in the sector, Hurricane Energy PLC () boss Dr Robert Trice last week described the group’s recent US$547mln funding as a “significant endorsement” as he highlighted another successful period for the West of Shetland oil firm.
The funding, a mix of convertible debt and equity, was a key component in the group’s recent success as it allowed the company to green-light the Lancaster field early production system (EPS), a campaign that is now in motion towards a target of ‘first oil’ by the first half of 2019.
In other news, PLC () shares advanced on Thursday after it told investors that has been signed up as a new customer.
A new contract see Plexus supply its POS-GRIP High Pressure/High Temperature (HP/HT) adjustable rental exploration wellhead equipment for the Russian group’s Vietnam subsidiary for an exploration well offshore Vietnam.
“It is always encouraging to secure a first contract with a new customer, particularly one of the calibre and strategic importance as Vietnam, a subsidiary of one of the largest oil and gas majors in the world,” said Ben Van Bilderbeek, Plexus chief executive.
The UK’s nascent shale gas sector is seeing increasing momentum. That’s according to () chief executive Stephen Bowler.
Bowler, in the company’s interim results statement, highlighted that Cuadrilla is now drilling its first well at the Preston New Road project and in the next few months Third Energy is expected to start hydraulic fracturing at the KM8 well in North Yorkshire.
Elsewhere, INEOS has submitted further applications for shale appraisal and 3D seismic acquisition, he noted.
() is looking forward to the start of drilling operations, as soon as its shares are readmitted to trading in London.
The AIM-quoted stock is on pause as it works through the regulatory admin related to its proposed reverse acquisition of Nigerian oil and gas assets.
Operationally, the company has been preparing for its planned drilling programme in Niger. It will start with three wells though a further six potential targets have also been identified.
Meanwhile, Tlou Energy Limited () told investors that it has submitted a response to the Botswana government’s Request for Proposal (RFP) regarding a proposed coal bed methane project.
The company, in a statement, highlighted that its proposal was submitted as planned, prior to the September 20 deadline, and that it was accepted by the Ministry of Mineral Resources, Green Technology and Energy Security.
Empyrean Energy PLC () shares dropped on Monday after an operations update for the Dempsey gas exploration well, where well-testing will start in two to three weeks’ time.
The update comes after drilling operations at Dempsey, in the Sacremento basin, California, have now been completed.
In a statement, Empyrean said that flow testing in the next stage of operations will determine whether the gas sands have a combination of porosity, permeability and access to volumes of reservoir rocks of sufficient quality to flow gas at commercial rates for an extended period.