PERTH (miningweekly.com) – ASX- and Aim-listed Tlou Energy has raised some A$5.2-million through a share placement to fund work at its coal bed methane (CBM) projects, in Botswana and elsewhere in Southern Africa.
The company placed more than 51.78-million shares at an issue price of 10c each, to sophisticated and professional investors in Australia and the UK.
The placement price represented a discount of between 12% and 19% on the ten-day volume weighted average price for Tlou shares on the ASX and Aim markets.
MD Tony Gilby said on Monday that the placement, along with a recently announced agreement with Independent Power Corporation, provided significant momentum for Tlou to progress upstream and downstream components for its Lesedi CBM project, with the objective of supplying the first gas-fired power in Botswana.
Tlou is now offering shareholders the opportunity to participate in a share purchase plan to raise a further A$2-million.
Shareholders will be allowed to subscribe for up to A$15 000 worth of new shares.