TIDMORCA
RNS Number : 0680X
Orcadian Energy PLC
18 December 2023
THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY
THE COMPANY TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER
THE MARKET ABUSE REGULATION (EU) NO. 596/2014 AS IT FORMS PART OF
UK DOMESTIC LAW PURSUANT TO THE EUROPEAN UNION (WITHDRAWAL) ACT
2018, AS AMENDED. UPON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A
REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO
BE IN THE PUBLIC DOMAIN.
18 December 2023
Orcadian Energy plc
("Orcadian Energy", "Orcadian" or the "Company")
GBP500,000 equity financing
Total Voting Rights
Orcadian is pleased to announce that it has today raised gross
proceeds of GBP500,000 through the issue of 3,571,429 new ordinary
shares of the Company (the "New Ordinary Shares") at a price per
New Ordinary Share of GBP0.14. These funds are raised as part of a
direct subscription with the Company with existing investors. The
subscription price represents a discount of approximately 15% to
the closing mid-price of an ordinary share in the Company of 16.5p
on 15 December 2023, being the latest practicable day prior to the
publication of this announcement.
The investors will also receive one warrant for every one New
Ordinary Share subscribed for. Each warrant entitles the holder to
subscribe, at any time for the next five-years, for one ordinary
share in the Company at a price of 25p per ordinary share (the
"Warrants"). In the event that, Orcadian's volume weighted average
share price ("VWAP") in each of five consecutive trading days is
35p or above, investors will be required to exercise or forfeit the
Warrants.
The New Ordinary Shares and 25% of the Warrants are being issued
under the Company's pre-existing share capital authorities with the
balance of the Warrants to be issued subject to shareholders
passing the necessary resolutions to authorise the issue, at the
Company's upcoming Annual General Meeting.
The proceeds of this fundraising will be applied to ongoing
short term working capital and the costs involved in the
progression of the Sale and Purchase agreement with Ping Petroleum
UK plc ("Ping") announced on 7 December 2023.
Application will be made to the London Stock Exchange for the
New Ordinary Shares to be admitted to trading on AIM, and it is
expected that dealings in the New Ordinary Shares will commence on
or around 5 January 2024. The New Ordinary Shares will be issued
fully paid and will rank pari passu to the Company's existing
ordinary shares.
Immediately following Admission, the Company's issued share
capital will be 79,000,412 Ordinary Shares, with each share
carrying the right to one vote. The Company does not hold any
Ordinary Shares in treasury. The total voting rights figure
immediately following Admission, of 79,000,412 may be used by
shareholders (and others with notification obligations) as the
denominator for the calculations by which they will determine
whether they are required to notify their interest in, or a change
to their interest in, the Company under the Disclosure Guidance and
Transparency Rules.
Steve Brown, Orcadian's CEO, said:
"We are delighted to have support from our existing investors as
we continue to progress what we believe is a truly exciting time
for the Company."
For further information on the Company please visit the
Company's website: https://orcadian.energy
Orcadian Energy plc + 44 20 7920 3150
Steve Brown, CEO
Alan Hume, CFO
WH Ireland (Nomad and Broker) +44 20 7220 1666
Katy Mitchell / Andrew de Andrade (Nomad)
Harry Ansell / Fraser Marshall (Corporate
Broking)
Tavistock (PR) + 44 20 7920 3150
Nick Elwes / Simon Hudson orcadian@tavistock.co.uk
About Orcadian Energy
Orcadian is a North Sea focused, low emissions, oil and gas
development company . In planning its Pilot development, Orcadian
has selected wind power to transform oil production into a cleaner
and greener process. The Pilot project is moving towards approval
and will be amongst the lowest carbon emitting oil production
facilities in the world, despite being a viscous crude. Orcadian
may be a small operator, but it is also nimble, and the Directors
believe it has grasped opportunities that have eluded some of the
much bigger companies. As we strike a balance between Net Zero and
a sustainable energy supply, Orcadian intends to play its part to
minimise the cost of Net Zero and to deliver reliable energy to the
UK.
Orcadian Energy (CNS) Ltd, Orcadian's operating subsidiary, was
founded in 2014 and is the sole licensee of P2244, which contains
78.0 MMbbl of 2P Reserves in the Pilot discovery, and of P2482,
which contain a further 52.2 MMbbl of 2C Contingent Resources in
the Elke and Narwhal discoveries (as audited by Sproule, with both
numbers modified to take into account the TGS royalty, see the CPR
in the Company's Admission Document for more details). Within these
licences there are also 118 MMbbl of unrisked Prospective Resources
(modified for TGS royalty). These licences are in blocks 21/27a,
28/2a and 28/3a, and lie 150 kms due East of Aberdeen.
Pilot, which is the field with the largest reserves in
Orcadian's portfolio, was discovered by PetroFina in 1989 and has
been well appraised. In total five wells and two sidetracks were
drilled on Pilot, including a relatively short horizontal well
which produced over 1,800 bbls/day on test. Orcadian's proposed low
emissions, field development plan for Pilot is based upon a
Floating Production Storage and Offloading vessel (FPSO), with over
thirty wells to be drilled by a Jack-up rig and provision of power
from a floating wind turbine.
Orcadian has entered into a conditional sale and purchase
agreement with Ping Petroleum UK plc ("Ping") which details the
terms under which Ping will farm-in to the Pilot development
project. Upon conclusion of this deal Orcadian would have an 18.75%
stake in the Pilot development with all pre-first oil development
costs paid by Ping.
Emissions per barrel produced are expected to be about a tenth
of the 2021 North Sea average, and less than half of the lowest
emitting oil facility currently operating on the UKCS. On a global
basis this places the Pilot field emissions at the low end of the
lowest 5% of global oil production.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
ROIUBVWROAUUAAA
(END) Dow Jones Newswires
December 18, 2023 02:15 ET (07:15 GMT)
Orcadian Energy (LSE:ORCA)
Historical Stock Chart
From Nov 2024 to Dec 2024
Orcadian Energy (LSE:ORCA)
Historical Stock Chart
From Dec 2023 to Dec 2024
