Canadian Overseas Petroleum has entered into an agreement for a £500,000 common share placing with one investor at 0.3 Pence per common share. The Company entered into a non-brokered subscription agreement on June 28, 2020 with an investor for a £500,000 Placing. This subscription is an upsize, or similar, of the previously announced placement on the 23rd of June with the same investor. Similar to the previous announced placing, COPL has agreed to pay a finder's fee of £35,000 cash and 12,500,000 common share purchase warrants exercisable for 24 months at a 30% premium to the Placing Price for this Placing to this investor. The Placing is conditional on admission of the Placing Shares to trading on the LSE which is anticipated to be on or around July 3rd 2020.
The funds received by the Company from the Placing will cover general working capital and enable the Company to continue focusing on its Nigerian OPL 226 project as disclosed on June 4, 2020.
Arthur Millholland, President and CEO, commented:
'This common share placing in addition to the placing announced on the 23rd of June and its recently announced loan facility, puts the Company on a firmer financial footing going forward, thus allowing us to focus on our principal asset.'
Source: Canadian Overseas Petroleum