PERTH (miningweekly.com) – ASX-listed Karoon Gas has partially completed its A$284-million capital raise, with both the institutional placement and the non-renounceable entitlement offer closing significantly oversubscribed.
The institutional component of the placement raised A$67-million while the 1-for-1.06 pro rata accelerated non-renounceable entitlement offer raised a further A$108-million.
“We are pleased with the strong support shown by new and existing shareholders for the equity raising along with the acquisition of the Baúna producing oil field,” said Karoon MD Robert Hosking.
“The acquisition of Baúna represents a new phase for Karoon as a significant ASX-listed oil exploration and production company. We now look forward to completing the retail entitlement offer which is the final financial component for Karoon to acquire the Baúna asset to the benefit of Karoon shareholders.”
Karoon earlier secured a $275-million senior secured term loan facility to partly fund the acquisition of the Baúna oil field, after announcing plans in July to acquire the oil field for $665-million.
The Baúna oil field consists of two producing oil reservoirs producing some 20-million barrels of oil per day of light sweet crude.