ADX Energy (ASX: ADX) is an oil and gas exploration and appraisal company. ADX operates five oil and gas permits in North Africa and Europe. ADX also has gold and base metal interests in Australia held via its stake in ASX listed Riedel Resources.
ADX Energy (ASX: ADX) has raised A$800,000 through a placement of more than 47 million shares to sophisticated investors to fund its working capital requirements.
The placement was priced at A$0.017 and will settle on 27 August.
ADX said its planned exploration operations in the Parta Block, Romania, are expected to be funded by the farm-in partner Rohoelaufsuchungsgesellschaft (RAG), an Austrian private company that has been exploring for and producing oil and natural gas in Central Europe since its foundation in 1935.
RAG is earning a 50% stake in Parta by paying past costs and a promoted share of future costs prior to the start of seismic operations.
ADX is required to shoot 100 square kilometres of new 3D seismic and 100 kilometres of new 2D seismic as well as drilling 3 exploration wells.
The 1,221 square kilometre Parta concession contains 40 identified oil and gas leads that can be evaluated with low cost seismic and drilling programs.
Similarly, its planned appraisal of the Dougga discovery and the drilling of compelling 3D defined near field exploration prospects in the Sicily Channel, is expected to be funded via future farm outs.
ADX had previously said that it plans to conclude the farmout process by the end of 2012 and prepare for drilling the next well in 2013.
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