Botala Energy (ASX:BTE) has received firm commitments to raise $1.5 million, which will be deployed to commence drilling and stimulation of the Serowe-3.5B well within the Serowe CBM Project in Botswana.
The company will issue roughly 25.4 million shares at an issue price of $0.059 per share, representing a 15.7% discount to the last trading price of $0.070 as well as a 13.8% discount to the 15-day volume weighted average price (VWAP) of $0.068.
Tranche one will issue the first 18 million shares, before the remaining 7.37 million securities are divested to directors following shareholder approval at an upcoming general meeting.
CEO Kris Martinick intends to subscribe to the placement, along with other directors with an amassed total of $435,000.
Botala expects to close this placement on 22 August 2025.
Martinick says the placement will allow the company to advance towards its target for gas sales.
“It is an exciting phase, with drilling at Serowe-3.5B and JSH-1, finalising key commercial agreements with significant investors into the project at the asset level which have completed due diligence over the past quarter and progressing the bankable Feasibility Study,” Martinick says.
Botala Energy is a coal bed methane explorer and developer, focused on furthering development of its wholly owned Serowe CBM Project in Botswana.
Write to Maddison Elliott at Mining.com.au
Images: Botala Energy
