Red Emperor Resources NL (ASX | AIM: RMP) is pleased to announce
an oversubscribed placing, through its London Broker, Brandon Hill
Capital, and its Australian Broker, 708 Capital, of 72,000,000 new
ordinary shares at 4 pence
(A$0.08) per share (the "Placing
Shares") to raise £2.88 million (A$5.76m) before expenses (the "Placing").
Proceeds from the raise and existing cash resources will
principally be used to fund the upcoming drilling and potential
appraisal activities in the
Philippines, where the Company has a 15% interest in Block
SC55 in the southwest Palawan Basin. SC55 is a deep-water block in
the middle of a proven regional oil and gas fairway that extends
from the productive offshore Borneo region in the southwest to the offshore
Philippine production assets northwest of Palawan. The first
prospect, Hawkeye-1, was identified on 2D seismic in 2007 and
further defined with a 600km2 3D seismic acquisition in
late 2009. Hawkeye-1 is assessed by the Otto Energy Limited, the
Operator of Block, to contain a 'Best Estimate' STOIIP of ~480
MMbbls of oil and a 'Best Estimate' Gross Prospective Resource of
112 MMbbls (RMP net 14.3 MMbbls).
Otto has already secured the Maersk Venturer drill ship to drill
the Hawkeye-1 prospect and the Company anticipates a spud date
towards the end of July 2015. The
well is expected to take less than a month to drill.
Outside of its existing operations in the Philippines, the Company also continues to
review numerous additional exploration opportunities. This
financing will further compliment Red Emperor’s existing cash
resources of circa £6 million and enable the Company to move
forward quickly should a suitable opportunity arise.
Application has been made to the London Stock Exchange for
admission of the Placing Shares to trading on AIM (“Admission"). It
is expected that Admission will become effective and that trading
in the Placing Shares will commence on or around 1 July 2015. The Placing Shares will rank pari
passu in all respects with existing ordinary shares in the
Company.
Following Admission, the Company will have 425,292,776 ordinary
shares in issue. This figure may be used by shareholders in the
Company as the denominator for calculations by which they will
determine if they are required to notify their interest in, or a
change to their interest, under the Disclosure and Transparency
Rules.
For further information please visit
www.redemperorresources.com or contact:
Red Emperor
Greg
Bandy +61 8 9225 2826
Grant Thornton UK
LLP
Philip
Secrett/Jen
Clarke/Jamie Barklem +44 20
7383 5100
Brandon Hill Capital
Limited
Jonathan Evans +44 20 3463
5010