Georgina Energy PLC (LON: GEX) shares surged 130% after the company announced that Harlequin Energy Ltd has confirmed its intention to fund the drilling of the Hussar-2 well within the EP513 prospect.
The funding will be provided via a structured offtake facility of up to US$25 million, which Georgina said is non-dilutive to existing shareholders. The facility is expected to fully cover the drilling programme and associated site infrastructure works, targeting the recovery of helium, hydrogen and natural gas.
Alongside the funding update, Georgina revised its prospective resource estimates for the Hussar prospect. Estimated helium resources were increased by 30% to 283 billion cubic feet (BCF), hydrogen resources were lifted to 315 BCF, and hydrocarbons were revised higher to 2.9 trillion cubic feet (TCF).
The company said the revised estimates and secured funding significantly de-risk the Hussar-2 well and strengthen the project’s development outlook.
Drilling Program
Georgina’s technical consultant, Aztech Well Construction have identified four drill rigs available in Australia that meet the required specifications for the 50-day drilling program.
· ENSIGN RIG 974
· MINRES EXPLORER RIG
· SAVANNA SLR RIG 186 (V4)
· VENTIA RIG 106 IDEAL PRIME
Anthony Hamilton, Chief Executive Officer of Georgina Energy, commented:
“Georgina has received confirmation of a USD$25 Million structured off-take funding facility to develop both Hussar and Mt Winter which along with the recently announced acquisitions from Central Petroleum presents the company with the opportunity to become a significant participant in the extraction of Helium, Hydrogen and Natural Gas.”
For more information visit https://www.georginaenergy.com
