2021-05-03 by Proactive Australia
Calima Energy Ltd (ASX:CE1) has resumed trading on the ASX as a conventional oil and gas producer focused on generating free cash flow from the development of assets in western Canada.
This follows a strongly supported capital raising which raised A$37.9 million and the acquisition of Blackspur Oil Corp.
Two shallow producing fields
Calima has taken advantage of the troubled Canadian oil sector to acquire the highly indebted Blackspur Oil Corp at a very favourable price.
Blackspur s Brooks and Thorsby assets are two shallow producing fields (50-70% oil) in Alberta with about 60 producing wells and 26 mmboe (million barrels of oil equivalent) 2P reserves.
Calima Energy resumes trading after raising A$37.9 million and acquiring oil producer
The company has acquired Blackspur Oil Corp, which owns producing oil and natural gas assets in two core areas within Alberta, Canada. Calima aims to produce an average of 3,000 barrels of oil equivalent per day between May and December 2021.
Calima Energy Ltd (ASX:CE1) has resumed trading on the ASX as a conventional oil and gas producer focused on generating free cash flow from the development of assets in western Canada.
This follows a strongly supported capital raising which raised A$37.9 million and the acquisition of Blackspur Oil Corp.
Calima Energy completes strongly supported A$38 million capital raising
Funds raised under the placement will be used to complete the recently announced acquisition of Blackspur Oil Corp. The company anticipates being reinstated to ASX trading next week.
Calima Energy Ltd (ASX:CE1) has completed a strongly supported capital raising under its retail offer and institutional placement for total funds of A$37.9 million.
There were 5,425,783,115 fully paid ordinary shares issued at a price of A$0.007 per share.
The company received strong demand in the retail offer and scale backs have been applied with the scale-back funds to be remitted back to the investors on Friday, April 30, 2021.
Calima Energy makes strong progress and expects suspension to end shortly
“We are extremely pleased with the exceptionally strong support for our capital raising, which validates the quality of the asset base and importantly the strong cash flows that the assets will generate in a rising energy market,” says CEO. The company’s capital raising has been completed with A$38 million of shares to be issued.
Calima Energy Ltd is making considerable progress on the path to production and revenue generation from assets in the prolific Montney Formation in Canada and is confident of ending an ASX trading suspension in the near future.
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