Rockhopper Exploration PLC (AIM: RKH) has announced a $140 million equity raise to support Phase 1 development of the Sea Lion oil field in the Falklands.
Shares will be issued at 53p, with investors also receiving warrants exercisable at 80p. Proceeds from the raise will be held in escrow and returned to investors if the project does not advance beyond the upcoming Final Investment Decision (FID).
Rockhopper estimates its share of Phase 1 development costs at $102 million, meaning the raise also provides a financial buffer.
The Sea Lion project has long been marked by a series of farm-out and funding attempts since its discovery, but it now appears poised to move into development.
“Having discovered Sea Lion some 15 years ago, we are obviously delighted to be able to announce this equity fundraise, which we are confident puts Rockhopper in the strongest possible position to take FID by the end of this year and to reach project completion of the first phase of Sea Lion with no additional equity dilution,” said CEO Sam Moody.
The $140 million equity raise by Rockhopper Exploration PLC comprises several components:
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A ‘firm’ placing tranche will immediately raise $115 million.
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A ‘conditional’ placing tranche for an additional $25 million is subject to shareholder approval.
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A separate open offer aims to raise up to €8 million.
All funds will be held in escrow and released only if the Final Investment Decision (FID) is reached by the 31 March 2026 deadline.
The Phase 1 development funding is contingent upon securing a $1 billion senior debt facility and financing support from joint venture partner Navitas, which is expected to cover two-thirds of the overall development cost.
“We look forward to continuing to work with and support Navitas in its role as Operator in bringing Sea Lion onto production and finally crystalising the value in the asset for all of our stakeholders,” said CEO Sam Moody.
Current Trading and Prospects
The Company’s results for the twelve months ended 31 December 2024 were released on 29 May 2025. A copy of these results can be found at www.rockhopperexploration.co.uk.
As noted in the Company’s results for the twelve months ended 31 December 2024, as at 31 December 2024, the Group had (audited) cash resources of approximately US$20.9 million. Save as set out below, there have been no material changes to the performance of the Group since the publication of these results.
