공시 • Nov 09
Block Energy plc Provides Operations Update
Block Energy plc announced the successful completion of a PS1.5 million equity fundraising at an issue price of 0.7 pence per share ("Fundraising Price"), and an update on operational and asset progress across its portfolio. Highlights: The fundraising comprises an institutional placing ("Placing") of, and direct subscriptions for, a total of 214,282,000 new ordinary shares of 0.25 pence each ("Ordinary Shares") at the Fundraising Price (the Placing and Subscription, together the "Fundraising"). Fundraising completed with strong demand from new and existing investors, providing additional financial flexibility to progress growth initiatives. Proceeds strengthen the balance sheet at a time of active commercial negotiations on asset farm-outs and continued progress of the Company's new venture strategy. Project IV (XIQ) farm-out remains on schedule, with positive feedback received from governmental authorities. Project III farm-out negotiations advancing with multiple third parties. Pursue new venture opportunities in both Georgia and internationally. Establish greater financial headroom in the event of further commodity price fluctuations. Project IV (XIQ): Good progress is being made on completion of the Project IV farm-out, with the existing parties - Block, Georgian Oil and Gas Limited ("GOGL") and Georgia Oil and Gas Corporation ("GOGC") - working to complete the transaction. Upon completion, the Parties will see a leading international E&P company commit to a significant exploration work programme focused on the Martkopi Terrace prospect which holds 301.7 MMboe mean unrisked recoverable prospective resources. Project III is a strategic gas appraisal project, located approximately 15km from the Southern Caucuses Gas Pipeline ("SCP"), a major component of the Southern Gas Corridor, which sees natural gas delivered primarily from Azerbaijan to Turkey and EU markets. The 2024 Independent Engineering Report ascribed 1,074 BCF 2C contingent resources and an NPV10 of USD 501 MM (OPC, 2024) to the Patardzueli-Samgori field. Project III also contains an additional two fields (Rustavi and Teleti), both with proven gas, and a low-risk exploration prospect, the South Dome field. The Company continues to receive strong support from the Georgian government for its planned farm-out of Project III, reflecting the project's strategic alignment with Georgia's objective to expand domestic gas production and strengthen its role within the regional energy corridor. Project II: The Company continues to advance a detailed field redevelopment plan for Project II, focused on unlocking substantial contingent resources through the application of its proven slim hole drilling and completion techniques, infrastructure optimisation, and phased production reactivation. The redevelopment effort and supporting plan, will form the basis of a high-impact farm-out opportunity for industry partners seeking immediate access to significant resources and near-term production with infrastructure. Patardzueli- Samgori Middle Eocene (Project II) contains 2C contingent resources of 235.0 MMbbl (Block Energy, 2022). Project I The latest project I well, KRT-39ST, was drilled safely, on time, and within budget, marking the first successful application of the Company's 'slim-hole' technology in Georgia. The operation, executed using the Company's own rig and crew, achieved its primary technical objectives and validated the efficiency of the drilling methodology. Completion operations are currently underway after which the well will be passed to the production team as part of Company's baseline Project I production portfolio. Application for Admission and Total Voting Rights The 214,282,000 new Ordinary Shares will rank pari passu in all respects with the existing ordinary shares of 0. 25 pence per share in the capital of the Company. Operationally, the team continues to deliver. The KRT-39ST well was drilled safely, on time and within budget, marking a technical first for Georgia with the successful deployment of slim-hole drilling technology. Early results from CO2 mineralisation programme are encouraging and demonstrate ability to innovate and adapt as the energy transition accelerates. With a strengthened balance sheet, a high-impact pipeline of projects, and growing industry engagement, and growing industry engagement, the energy transition accelerates.