Australian oil and gas exploration and production company Carnarvon Petroleum has successfully raised $50m for offshore operations in Australia.

The capital was raised through the issue of 151.6 million shares at an issue price of $0.33 per share via a placement to Australian and global institutions and “sophisticated” investors.

The placement provides funding for Carnarvon’s appraisal and exploration operations relating to the Dorado discovery in Australia’s North West Shelf. Carnarvon first discovered oil in the Dorado field by drilling the Dorado-1 well in July 2018.

Activities relating to Dorado funded by the placement include drilling of the Dorado-2 and Dorado-3 wells to appraise the discovery in April 2019, design and engineering studies to develop the field and drilling the prospective Roc South-1 exploration well located between the Roc and Dorado wells.

There is also the potential for development-focused 3D seismic over the Dorado and Roc fields, as well as potential 3D seismic acquisition over the Pavo and Apus prospects.

Carnarvon managing director Adrian Cook said: “This capital raising received significant interest, which is consistent with the growing investor interest in Carnarvon since the Dorado discovery.

“I want to thank our shareholders for their ongoing support and also welcome a number of new Australian and global institutions onto our register. This funding will ensure that Carnarvon is in a robust financial position going into our exciting 2019 program.”