Zimbabwean private equity fund, Mangwana Opportunities, has a chance to increase its stake in an independent oil and gas exploration company focused on high impact energy resources in sub-Saharan Africa, Invictus Energy Limited, after completing an acquisition of shares.
The capital raised will be used for further exploratory and project development work related to the oil and gas project at Invictus Energy in Muzarabani. Completion of the equity transaction – where Mangwana Opportunities acquired 12,5 million shares for $440,000 – saw the simultaneous appointment of Joe Mutizwa to the board of Invictus Energy.
“The agreement makes provision for a further equity investment by Mangwana for the project over the next 12-24 months as well as assisting the company in achieving its strategic goals in country,” Invictus said.
The shares were placed at a price of $0,035 per share; a 91% premium to the preceding 5-day volume weighted average price of $0,0183 when the placement was announced on April 30, 2020. The placement is a 20% to premium to the last closing price of $0,029. The shares issued to Mangwana Opportunities will be held in escrow for six months from the date of completion.
The Muzarabani oil and gas project has the potential to produce 3,9 trillion cubic feet of natural gas and 181 million barrels of conventional gas.
