Perth-based energy junior FAR has announced a $15 million capital raising to fund oil and gas exploration off the Kenya coast.
FAR said it would raise $12.04 million through a placement priced at 4.3 cents per share, and a further $3 million through a share purchase plan to existing shareholders.
The placement is being brokered by Hartleys.
FAR said the funds would enable it to maintain its interest in gas exploration blocks L6 and L9off the Kenyan coast, which are close to a string of major discoveries.
“We were overwhelmed by the support shown for the placement,” managing director Cath Norman said.
“We received offers for a multiple of the money we sought to raise, which shows the interest that is building in the east African oil and gas province.
“FAR is one of the early movers in east Africa and has accumulated an enormous acreage position in prime exploration areas.
“I am confident that the rewards from several years of hard work in this area will now start to flow to shareholders.”
At 10:15AM FAR stocks were steady at 4.9 cents. The shares only just resumed trading after being placed in a trading halt on Tuesday.