Australian oil and gas company American Patriot Oil & Gas has agreed to issue 160 million shares priced at A$0.025 ($0.0185) a share in a private placement to raise A$4m ($2.96m).
Institutional, professional and sophisticated investors will subscribe to the placement.
Each subscriber will be given an option to subscribe to two shares at a price of A$0.045 ($0.033) a share.
American Patriot simultaneously plans to issue shares priced at A$0.025 ($0.0185) each in a rights offering to raise A$3m ($2.22m).
The funds raised from the placements will be used by the company to fund the acquisition of Foothills Resources for $15m, and the purchase of the Peak Energy asset, and the Magnolia/Burnett assets from Magnolia Petroleum Company and Burnett Petroleum Company for $3.2m.
Lion Energy has entered an agreement to divest its 40.7% interest in South Block A (SBA) to Blue Sky Resources for a nominal amount of A$10 ($7.4) in return for production royalty right equal to 0.8% of the revenue generated from the block, subject to a maximum of $4.5m.
Located in North Sumatra Basin, Indonesia, the SBA block is divided into two blocks covering a total area of 421km².
Based in Australia, Lion Energy is an oil and gas exploration and production company, while Blue Sky Resources is an oil and gas company.
The divestment is expected to strengthen Blue Sky Resources’ oil and gas assets base.
Petrolia Energy Corporation has entered an agreement to farm-out 75% working interest in an oil and gas well located in Oklahoma, US, to Boone Operating.
The oil and gas well is located in the Slick Unit Dutcher Sands oil field in the Creek County of Oklahoma.
Boone will bear the cost of drilling the first well, as per the terms of the transaction.
Both the companies involved in the transaction are oil and gas companies based in the US.
The transaction will strengthen Boone Operating’s oil and gas assets base in Oklahoma.
Through its subsidiaries, Barnwell Industries has entered a purchase and sale agreement to purchase Eagle Energy’s oil and natural gas assets in Twining, Alberta, Canada, for C$13.82m ($10.45m).
Barnwell Industries is a US-based oil and natural gas company, while Eagle Energy is a Canadian oil and gas company.
The acquisition will strengthen Barnwell Industries’ oil and gas assets portfolio in Canada.
The funds raised from the divestment will be used by Eagle Energy to reduce its debts and carry out development in north Texas.
