13th Jun 2014 12:32
LONDON (Alliance News) - Faroe Petroleum PLC Friday said it raised approximately GBP65 million in an oversubscribed and increased share placing.
The oil and gas company, which focuses on exploration in Norway the Atlantic Margin and the North Sea, said it placed a total of 54.17 million shares at a price of 120 pence per share. The placing shares issued represent roughly 25.45% of the company's existing issued share capital, it said.
Faroe Petroleum shares were down 3.7% at 122.25 pence Friday afternoon.
The company said it increased the size of the placing to GBP65 million, from the planned GBP45 million, following very strong demand from institutional investors.
It said it will use the fund to pursue additional production acquisitions, and to accelerate the conversions of its 2C resources into 2P reserves.
"We are continuing our exciting exploration campaign, with two wells currently being drilled at the Butch South West prospect and the Bue prospect, both in Norway and the results of which we expect in the third quarter of 2014," said Chief Executive Graham Stewart in a statement.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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