Eco Atlantic raises CAD$6.1M to drill another well in Canje Block

Jul 13, 2021 News

Kaieteur News – A Canadian oil exploration company operating in the Canje Block—Eco Atlantic—has had its application approved to issue more shares in the company to a private equity partner in order to raise several million dollars to pursue another well in the Canje Block.

Gil Holzman, Co-Founder and Chief Executive Officer of Eco Atlantic.

The news comes just days after announcing that its Jabillo-1 well was unsuccessful and as such had to be abandoned and capped.
Making the announcement on Friday last, the company which boasted licences in the proven oil province of Guyana said, “it has received approval from the TSX Venture Exchange for its private placement with Africa Oil Corp. (‘Africa Oil’) and Charlestown Energy Partners LLC (‘Charlestown Energy’) to raise approximately CAD$6.1 M.”
Announcing the original application for the sale of shares on June 28, last, Gil Holzman, Co-Founder and Chief Executive Officer of Eco Atlantic, had observed, “our strategic partners at Africa Oil are further increasing their shareholding through the placement, and we welcome the investment from Charlestown Energy Partners.”
The move, he noted, will provide, “Eco with additional funds for the JHI transaction and enables the second well on Canje Block, Sapote-1, and preserves enough cash for the drilling in our Orinduik Block.”
He said at the time, Eco and Africa Oil are committed to jointly seek, analyse and fund exploration opportunities, and Eco greatly appreciates their technical contribution and capital support as we move forward.”
Announcing the approval of the sale of shares on Friday, the company noted that the terms of the application remain unchanged.
Application had to be made to the London Stock Exchange for the 14,945,913 new common shares to be issued pursuant to the Subscription (the ‘Subscription Shares’) to be admitted to trading on AIM (‘Admission’).
Admission was projected to take place on July 15, 2021, but this has since been moved up, meaning Eco is likely to secure the cash through the transaction earlier than planned.

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