Triangle Energy (Global) Ltd Receives Firm Commitments for $10 Million Fundraising

Triangle Energy (Global) Ltd (ASX:TEG) (FRA:WMOA) has received firm commitments of $10 million in a placement to new and existing sophisticated, institutional and professional investors.

The company welcomed strong interest in the placement as well as recognition of its Perth Basin expansion strategy and significant investment in ASX-listed gas exploration and development company State Gas Limited (ASX :GAS).

Funds will be applied to:

  • Cliff Head oil field: CH6 Workover (re-entry) and CH11 intervention on the water injection sheet. These reconditionings should begin in the coming weeks. Well planning will also be initiated for the drilling of Nez Sud-Est, West High and Mentelle as well as injection work on CH10;
  • Permits L7, EP-437 and WA-481-P: Progress of seismic planning at permits L7 and EP-437 and exploration evaluation at WA-481-P; and
  • Venture Funds and Working Capital: Funds will be applied to bid costs, working capital, and completion of a feasibility study for an oil refinery in the Midwest and to establish a Cliff Head Infrastructure Future Fund which will provide a cash reserve for any planned or unforeseen project. big project at Cliff Head.

“Committed to building a strong balance sheet”

Triangle’s Managing Director, Rob Towner, said: “This is a real sign that investment in potentially diverse energy companies is strong.

“Triangle is exposed to conventional oil production and exploration in one of Australia’s most under-explored hydrocarbon basins, the east coast gas market, renewable energy and processing infrastructure reviews.

“The company is committed to building a strong balance sheet to demonstrate its ability to implement capital projects to extend the life of its assets, particularly Cliff Head.

“We are also allocating funds to establish the Cliff Head Future Fund, which will provide a cash reserve for any major planned or unplanned projects at Cliff Head to ensure that the necessary work can be undertaken without delay.”

First installment

The company has appointed CPS Capital Group Pty Ltd to act as lead manager and broker in this successful fundraising.

The company will issue up to 454,545,455 fully paid shares of common stock to sophisticated and professional investor clients of CPS at an issue price of $0.022 per share, along with a free peg option exercisable at $0.035 per option with a two-year term from date of listing for every two shares subscribed and issued – to raise up to $10 million before fees.

The placement will be completed in two tranches with 80,649,566 shares to be issued under Tranche 1 upon completion.

At the end of Tranche 1, the 80,649,566 new shares will represent approximately 11.5% of the share capital of the company, which will consist of 701,413,047 ordinary shares in circulation.

The Company expects the issuance of shares under the Offering to occur on or about June 29, 2021.

slice two

The issuance of the balance of the shares and all of the options with free allocation (both for Tranche 1 and for Tranche 2) will take place in Tranche 2.

The issue of the shares subject of Tranche 2 and the issue of all the options are subject to the obtaining by the company of the approval of the shareholders at the general meeting.

The Company’s directors (or their nominees) intend to participate in Tranche 2 of the offering for approximately $250,000, subject to receipt of the necessary shareholder approvals.

Lead manager fees

CPS will receive a management fee of 2% and a placement fee of 4% of funds raised under the placement and will also receive 135,000,000 options in partial consideration for placement-related services and assistance with the placement. issuance of eligibility options.

CPS will also receive a monthly corporate advisory fee of $6,000 for a period of at least 12 months following completion of the lead manager engagement.

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