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African Petroleum sells equity to fund offshore exploration

11th February 2015

African Petroleum has announced that the private placement has been successfully allocated raising NOK 95,106,200 (approximately USD 12.5m) in gross proceeds through the allocation of 271,732,000 Offer Shares at a subscription price of NOK 0.35 per share

African Petroleum has announced that the private placement has been successfully allocated raising NOK 95,106,200 (approximately USD 12.5m) in gross proceeds through the allocation of 271,732,000 Offer Shares at a subscription price of NOK 0.35 per share
Raised potential offshore West Africa will need a boost in exploration investment to realise

African Petroleum plans to use the cash to funds its ongoing exploration activities off West Africa and to boost its business strategy options.

The company recently raised prospective reserve levels at four of its licences across Liberia and Cote d'Ivoire.

“We are delighted to announce today’s private placement to raise USD 12.5m, and our intention to raise a further USD 2.5m in a subsequent repair offering,” said Dr. Stuart Lake, African Petroleum chief executive officer.

“We are particularly pleased by the confidence placed in us by our existing and new investors and encouraged that we have been able to complete the fundraising despite the current uncertainty in world oil markets. The net proceeds of the placing will be used to primarily strengthen the company’s balance sheet and liquidity position and to fund our ongoing exploration programme, including seismic costs and licence fees.

“The fundraising further bolsters our position and provides us with additional flexibility and optionality as we continue advanced discussions with potential farm-out partners across our prospective acreage offshore West Africa. We look forward to updating the market on our progress in due course.”

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