United Oil & Gas Plc (AIM: UOG) said it has raised £500,000 before expenses through a placing of 250 million new ordinary shares.
The AIM-listed oil and gas company said the shares were placed at 0.20 pence each with two long-term institutional shareholders.
The issue price represents a discount to the closing mid-market price of 0.23 pence on July 2, the last trading day before the announcement.
United said the net proceeds will be used to strengthen its working capital position as it continues to advance the farm-out process for the Walton-Morant Licence in Jamaica.
Each placee will also receive one warrant for every three placing shares subscribed. The warrants are exercisable at 0.28 pence per share for six months from the date of issue.
Brian Larkin, CEO, commented:
“This Placing, by existing two long term institutional shareholders who know this Company and its assets well, strengthens our working capital at a point when the technical work is complete and the farm-out process is active and progressing. Securing additional working capital under current more favourable market conditions is in our view the prudent course, both for the Company and for shareholders.
We remain focused on progressing the farm-out and will update the market as and when appropriate.”
Application will be made for the placing shares to be admitted to trading on AIM, with dealings expected to begin at 8.00 a.m. on or around July 9, 2026.
Following admission, United Oil & Gas will have 4.64 billion ordinary shares in issue.
