European-focused oil and gas firm Europa has raised almost £3million from a new share issue as it looks to fund its exploration work next year.
And the company could raise a further £1million from a further issue early in the new year.
Europa, which posted £0.4million profits for the first half of the year, has farmed out two blocks off the Irish coast to Kosmos as it banks on oil and gas finds.
“As a result of the placing, we are now in a position to drill two exploration wells in the UK in 2014, each of which has a one in three chance of materially adding to our production,” said Europa chief executive Hugh Mackay.
“Revenues generated from our three producing fields in the UK will fund our share of drilling the Wressle prospect in early 2014. However the funds raised today will allow us to drill the Kiln Lane prospect, which is located in a working hydrocarbon system where a number of discoveries have been made in adjacent licences.
“We estimate Kiln Lane has gross mean un-risked resources of 2.9mmbo and with a 50% interest and operatorship of the licence, we will be looking to drill a well in H2 2014.”
The onshore Kiln Lane site, in the East Midlands, is thought to contain up to 2.9million barrels of oil.
The company is also looking to farm out its Berenx Shallow gas prospect in France, which could contain hundreds of billions of cubic of gas, as it prepares to take part in next year’s Irish licencing round.
Recommended for you
