88 Energy has successfully completed a bookbuild to domestic and offshore institutional and sophisticated investors at an issue price of A$0.029 (£0.01508) per share, raising approximately A$5.0 million (approx. £2.6 million) before costs (the Placement).
The Placement was heavily oversubscribed, reflecting strong support for the Company's sharpened, Alaska-focused exploration strategy, expanded North Slope acreage position, and the potential of the Company's forward programme of activities. The funds raised will strengthen the Company's balance sheet and accelerate key pre-drilling activities, including permitting and well planning for the Augusta-1 exploration well, currently scheduled to spud in Q1 CY2027[1].
Placement Highlights:
- Strong support endorses the Company's sharpened, Alaska-focused exploration strategy and recognises the significant scale, quality and development potential across the Company's expanded North Slope portfolio.
- Proceeds raised will accelerate critical pre-drilling activities ahead of the planned Augusta-1 exploration well, currently scheduled to spud in Q1 CY2027.
- The Augusta-1 well has been designed to target low-risk Ivishak and Kuparuk reservoirs, which host a combined total estimated Prospective Resource of 64 MMbbls (2U, gross unrisked).[2] [3]
- Additional Brookian upside expected and to be considered in final well location selection.
- South Prudhoe farm-out process underway, with multiple parties currently evaluating the acreage and participation in the Augusta-1 well.
88 Energy Managing Director, Ashley Gilbert, commented:
'This strongly supported Placement, including participation from a number of new domestic and offshore investors, represents a clear endorsement of our sharpened Alaska-focused strategy and the exciting potential of our expanded North Slope portfolio. We have an exciting drilling prospect at the Augusta-1 well, with multi-zone exploration potential backed by a wealth of data and the added advantage of proximity to established infrastructure and producing fields. This provides the Company with a very exciting opportunity to unlock real and significant value, as any new-discovery success has a clear and accelerated pathway to development.
'Proceeds raised place us in a strong position to accelerate key pre-drilling activities, advance permitting and well planning, and progress farm-out discussions from a position of financial strength.'
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Source 88 Energy
