Oil and Gas News

Buru secures $16m for Canning Basin drilling

Buru Energy has raised $16 million from investors and a share purchase plan (SPP) to fund its 2021 Canning Basin drilling program in Western Australia.

Executive chairman Eric Streitberg said the strong support reflects the exciting exploration program set to begin next week.

“We are now fully funded for our 2021 Canning Basin exploration and development program, with the first exploration well at the Currajong prospect scheduled to spud next week,” he said.

The company closed its SPP on Friday, June 4 and received subscription applications totalling $1 million from 133 shareholders.

In addition, on April 30, the SPP was put in place to provide eligible Buru shareholders the opportunity to acquire $30,000 worth of new Buru shares following the successful $15 million share placement to investors.

The company outlined that the funds raised will supplement its existing cash reserves and provide support for ongoing exploration, appraisal and development activities following the 2021 program.

Streitberg thanked its shareholders for their continued support of Buru, and is pleased to provide an opportunity for all eligible shareholders to participate in the company.

“The funds raised will put Buru in a strong financial position to execute its exploration and development strategy within its Canning Basin joint ventures as part of our 2021 program and beyond, as well as to pursue new business opportunities,” he added.

The 2021 program will include three wells and a regional and prospect-orientated seismic program.

Terrex Seismic was selected as the preferred contractor for the seismic acquisition program.