Eco (Atlantic) Oil & Gas Ltd, an oil and gas exploration company with licences in the proven oil province of Guyana and the highly prospective basins of Namibia, has completed a private placement with strategic partner Africa Oil Corp (Africa Oil) and Charlestown Energy Partners LLC.
This is subject to TSX Venture Exchange approval.
Africa Oil has subscribed for 5,945,913 new common shares in Eco and will be granted the same number of warrants to acquire common shares at the Subscription Price with a two-year duration. Charlestown Energy has also subscribed for 9,000,000 new common shares at the Subscription Price and will be issued the same number of warrants on equivalent terms.
The subscription by Africa Oil and Charlestown Energy will result in Africa Oil increasing its interest in Eco to 19.99%, and Charlestown Energy increasing its interest to 4.51%, of the issued share capital of Eco as enlarged by the Subscription, in each case before any exercise of warrants.
The 14,945,913 new common shares to be issued subject to TSX Venture Exchange approval (expected to be received in the coming days), receipt of funds pursuant to the Subscription and admission of the Subscription Shares to trading on the TSX and on AIM, will represent, in aggregate, approximately 7.5% of the Company's enlarged issued share capital.
On receipt of TSX Venture Exchange approval, application will be made to the London Stock Exchange for the Subscription Shares to be admitted to trading on AIM.
Source: Oil Review Africa (originally published on 28th June 2021)