Sirius Petroleum said to be working on fundraising of up to $20 million - sources

Friday, 3 November 2017, 11:00 am

Aim-listed Sirius Petroleum is in talks with investors about raising between $10 million and $20 million.

Sirius - which Betaville revealed several months ago had secured an offtake agreement with FTSE 100 oil giant BP - is looking to raise up to $12.5 million via an equity fundraising, said sources familiar with the matter.

These sources said new shares are likely to be priced at between 0.7p and 1p. The rest of the fundraising will be done with debt. At the moment, sources said Sirius has lined up about $7.5 million of debt from lenders that specialise in financing oil and gas projects.

Sirius, whose main asset is the Ororo field off the coast of Nigeria, has had its shares suspended as it waits to become an operating company. The new money will be used to fund the drilling of two wells, said sources familiar with the deal.

These sources said they expect the fundraising to be finalised and announced in the next couple of weeks.

Betaville approached a Sirius spokesperson for a comment and is happy to add company comment should there be a response from the company...

[Disclaimer - the information on Betaville does not consitute any form of investment recommendation and is not intended to be relied upon by readers in making, or refraining from, any investment decisions].

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