REG - Empyrean Energy PLC - £625,000 Placing

Empyrean EnergyAnnouncement

11/02/2025 07:15

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RNS Number : 6615W  Empyrean Energy PLC  11 February 2025

 

11 February 2025

This announcement contains inside information

 

Empyrean Energy PLC / Index: AIM / Epic: EME / Sector: Oil & Gas

 

Empyrean Energy PLC ('Empyrean' or 'the Company')

Empyrean secures the right to earn an additional 12.8% working interest in the
upcoming Wilson River-1 well and completes £625,000 Placing

 

Empyrean Energy plc ("Empyrean" or the "Company"), the oil and gas development
company with interests in Australia, Indonesia and the United States, is
pleased to advise that it has secured the right to earn an additional 12.8%
working interest in the Wilson River -1 well, taking its working interest upon
completion of the earn in up to 52.8%. Empyrean has raised £625,000 (before
costs) through a placing of 500,000,000 new ordinary shares of 0.01p each in
the Company (the "Placing Shares") at a price of 0.125p per Placing Share (the
"Issue Price") (the "Placing").

 

The additional 12.8% working interest has been negotiated  with the current
leaseholder of ATP1173, Chi Oil and Gas Pty Ltd "Chi Oil". The amended
agreement allows for Empyrean and Condor Energy Services Limited "Condor
Energy" to earn an additional 20% interest in ATP1173, upon which the Wilson
River-1 well will be drilled. Empyrean and Condor Energy will earn the
additional interest by paying for a number of required pre-drill expenses,
including surveys and permits, that will be included in the Authority For
Expenditure ("AFE") for the well. Empyrean and Condor Energy have agreed to
share these costs pro rata to the earn-in terms whereby Empyrean pays 66% and
Condor Energy pays 34%. Following the earn-in, the respective JV partners'
working interests will be Empyrean 52.8%, Condor Energy 27.2% and Chi Oil
20.0%.

 

The Issue Price represents a 31.8% discount to the price of the Company's
ordinary shares (the "Shares") as at close of business on 10 February 2025
(0.168p) and a 6% discount to the volume weighted average price of the Shares
for the ten days prior to close of business on 10 February 2025 (0.134p).

 

Funds raised pursuant to the Placing will be used for Empyrean's anticipated
share of additional costs for the drilling, logging and testing of the Wilson
prospect (as announced on 23 January 2025) and for the Company's general
working capital purposes.

 

The Placing is being completed under the Company's existing authorities and is
not subject to the approval of shareholders.

 

Issue of shares in lieu of capital raising fees

 

The Company advises that it has resolved to issue 2,500,000 shares to a third
party in lieu of part of the fees associated with the Placing (the "Fee
Shares").

 

Total Voting Rights and Admission

 

Application will be made for the Placing Shares and the Fee Shares (together,
the "New Ordinary Shares") to be admitted to trading on AIM. Admission is
expected to take place on or about 14 February 2025. The New Ordinary Shares
will rank pari passu with existing Shares in issue.

 

Following the issue of the New Ordinary Shares, the Company's enlarged issued
share capital will comprise 3,735,092,441 Shares. This figure may be used by
shareholders as the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a change to
their interest in, securities of the Company under the Financial Conduct
Authority's Disclosure and Transparency Rules.

 

Empyrean CEO, Tom Kelly commented, "Empyrean is delighted to have secured
funding to enable Empyrean the right to earn an additional 12.8% working
interest in the Wilson River-1 well. Upon completion of the earn in, Empyrean
will have a 52.8% working interest in the well. We look forward to providing
shareholders with further updates as preparations to drill progress."

 

For further information please visit www.empyreanenergy.com
(http://www.empyreanenergy.com/)  or contact the following:

 

 Empyrean Energy plc                                               Tel: +61 (8) 6146 5325
 Tom Kelly

 Cavendish Capital Markets Limited (Nominated Advisor and Broker)  Tel: +44 (0) 207 220 0500
 Neil McDonald

 Pearl Kellie

 Novum Securities Limited (Joint Broker)                           Tel: +44 (0) 207 399 9400
 Colin Rowbury

 

 

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