Stockbrokers Cenkos (in UK) and Euroz Hartleys (in Australia) have arranged the placing of shares to domestic and international institutional and sophisticated investors, the company noted.
"Completion of this placement positions the company strongly as preparations continue for the drilling of the Merlin-1 and Harrier-1 wells, which will test multiple conventional targets, in Q1 CY2021.
“Final documentation in relation to the Peregrine farm-out with the preferred bidder is progressing with execution of final documents expected in the next few weeks,” said David Wall, 88 Energy managing director.
“Planning and permitting remains on schedule for a late February 2021 spud of the first well at Project Peregrine.”
88 Energy launched the fundraise on Tuesday. The explorer – which is presently advancing farm-outs for its Peregrine and Icewine projects – said the new cash will support the ongoing evaluation of the conventional and unconventional prospectivity.
It is also expected to allow the company to identify and exploit new opportunities on the North Slope of Alaska.
Some 1.66bn new shares will be sold to investors, with each share priced at 0.6 Australian cents (equivalent to about 0.33p).
Company directors David Wall (managing director), Michael Evans (non-executive chairman) and Stephen Staley (non-executive director) are participating in the share placing, together taking a total of 11.5mln new shares.