14th Apr 2015 14:51
LONDON (Alliance News) - Solo Oil PLC Tuesday said it has raised GBP2.0 million in gross proceeds after issuing over 363.6 million new shares at a price of 0.55 pence per share.
Solo Oil, one of the partners in the Horse Hill oil prospect in southern England, said the 0.55p price represents an 8% discount to the company's closing share price on Monday. The new shares that have been issued represent 6.59% of the company's enlarged share capital.
Solo shares fell by 4.8% to 0.591p per share on Tuesday afternoon.
The proceeds will be used for general working capital for its assets in the UK and in Tanzania.
"Access to additional working capital at this time will permit us to actively participate in the development of the discoveries we and our partners have made at Ntorya in the Ruvuma basin and at Horse Hill in the Weald basin, where a far more major discovery has recently been announced," said Chairman Neil Ritson.
Solo Oil was one of the companies involved in a potentially significant oil discovery in the Weald basin announced last week, which could see between 3.0 billion to 15.0 billion barrels of oil being recovered near Gatwick Airport.
By Joshua Warner; [email protected]; @JoshAlliance
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