United Oil & Gas (AIM:UOG), the AIM-listed oil and gas company with a development asset in the UK and an exploration licence in Jamaica, has raised £500,000 through a placing.
It sees the company issue 250 million new shares issued to two existing investors, at a price of 0.2p per share (compared to a market price of 0.23p on Thursday).
Net proceeds will be used to strengthen the working capital position as it continues to advance the farm-out of the Walton-Morant Licence.
Chief executive Brian Larkin said the company "remains focused on progressing the farm-out", and described the equity raise as prudent.
"This placing, by existing two long term institutional shareholders who know this company and its assets well, strengthens our working capital at a point when the technical work is complete and the farm-out process is active and progressing."
