Oz Norwest Raises Funds for Perth Basin Project

Perth Basin focused oil and gas exploration company Norwest Energy November 11 announced that it plans to raise A$3.25mn (US$2.22mn) via a share placement. It also plans to undertake a share purchase plan to raise up to a maximum of A$500,000.

The capital raised via share placement and purchase plan will be used to fund drilling costs associated with Norwest Energy's 20% interest of exploration drilling in permit EP 368 in the Perth Basin (expected spud in 1H2020); planning and preparation for operations to meet future work commitments within EP 368 and EP 426; desktop studies on Norwest Energy's other Perth Basin interests including the Xanadu oil discovery; partial repayment of the Sundowner International Convertible Loan Facility; and general working capital.

“The EP 368 joint venture will shortly select the location for what could be a truly transformational exploration well for Norwest, and we are pleased to be able to provide shareholders, both existing and new, with such exciting exposure to the emerging Perth Basin gas play,” managing director, Iain Smith, said.

EP 368 covers an area of 600.3 km² and is situated at the northern end of the hydrocarbon fairway running through the northern Perth Basin in Western Australia. The EP 368 joint venture consists of Norwest and Energy Resources, which hold the 80% stake.