Tlou Energy Limited has announced that it has received firm commitments to raise A$3,072,864.71 (~£1.695 million, ~BWP 26.485 million) before expenses pursuant to a placing of 87,796,135 new ordinary shares of no par value at an issue price of A$0.035 per share.
The funds are proposed to be used for drilling of gas production wells and associated costs in relation to development of Tlou’s Lesedi Power Project in Botswana.
The issue of the New Shares is subject to shareholder approval, to be sought at a general meeting to be held in January 2023. If approved, the placement of the New Shares will result in IC Australia (No2) Pty Ltd representing 25.79% of the Company.
Anthony Gilby, Chief Executive Officer of Tlou, commented:
“This additional investment is an endorsement of the progress being made and will assist the Company to meet our objectives. These new funds are planned to go towards drilling a new gas production pod in 1H23.”
Tlou is developing energy solutions in Sub-Saharan Africa through gas-fired power and planned ancillary projects. The Lesedi Gas-to-Power Project (Lesedi) is 100% owned and is the Company’s most advanced project.