Block Energy has entered into a conditional agreement with Pilgrim Exploration for an investment linked to offshore production sharing contracts in Gabon, alongside plans to raise $6…
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Block Energy has entered into a conditional agreement with Pilgrim Exploration for an investment linked to offshore production sharing contracts in Gabon, alongside plans to raise $6.3 million through an equity offering.
The transaction relates to the Ndjila and Mpari production sharing contracts, covering offshore licenses in the North Gabon basin.
Block said the fundraising will be conducted through a placing via accelerated bookbuild and a retail offer, with proceeds intended to fund a $6 million investment in Pilgrim through a secured convertible loan.
The licenses cover an area of 5,331 sq km and include four historical oil discoveries, with further exploration potential in pre- and post-salt formations.
“This transaction represents an excellent value-accretive acquisition of discovered oil and high-potential exploration in a well-known oil producing jurisdiction. With an excellent data set and highly encouraging drilling activity by former operators we believe that the assets combine an anchor development opportunity with significant upside and broad running room.
“With recent farm-in progress on both Project III and Project IV in Georgia, we believe that the Gabon Transaction
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