Oz Strike Completes Capital Raising Programme

Australian explorer Strike Energy December 4 said it has completed the capital procurement programme and is fully funded to deliver its planned exploration, appraisal and development activities during 2020.

Total funds from the capital procurement process, which comprised a share placement and the share purchase plan announced on 1st November 2019, were over A$30mn (US$20.5mn) before costs. The share purchase plan has now closed,” the company said.

Strike’s 2020 programme will include engineering, development planning works and the drilling of two appraisal wells, which will be completed as future producers at West Erregulla. “The successful completion of this programme will put the company in a position to consider a final investment decision on phase 1 of the West Erregulla development as early as the end of 2020. The timeline to FID remains subject to the appraisal results, JV discussions/processes and other agreements and approvals,” Strike said.

The 2020 exploration programme also includes activities across Strike’s 100% owned land position in the Perth Basin, with 3D seismic acquisition at Walyering (due to complete early this month), and across its Permian gas prone acreage in the fairway adjoining West Erregulla.

The company said its strategy is to be in a position to deliver first gas into the Western Australian market by 2022, with CSBP (Wesfarmers) holding a gas offtake option for 100 petajoules of that gas. At the same time it will continue the Jaws pilot study in the Southern Cooper Basin, Strike added.