Invictus Energy, an Australian company, has raised A$10 million to fund the next phases of its work in Zimbabwe’s Cabora Bassa Basin. The company plans to commence its 2D seismic acquisition in May, which will cover the eastern part of EPO 1848 and 1849. This will be an extension of its previous seismic work in the area. Invictus aims to mature a number of leads along the proven play to the east of Mukuyu and also leads on the basin margin play with the new seismic data. Additionally, the company plans to drill the Mukuyu-2 well early in the third quarter of 2023. The rig is still on-site.
The placement was oversubscribed and cornered by long-term investor Mangwana Capital, as well as a number of local Zimbabwe partners and the Board, said Company Managing Director Scott Macmillan. Macmillan welcomed the funding from existing and new shareholders.
The new seismic work will mature leads identified from vintage data into drillable prospects. Invictus is also working on the appraisal well. The Mukuyu-2 well will target multiple hydrocarbon-bearing intervals from the first well and side track in the Upper Angwa, Pebbly Arkose, and Post Dande formations.
The placing involves the issue of 83.33 million shares at a price of A$0.12, a 20% discount to trading on April 3. The new shares also have options that can be exercised at A$0.2 within three years. Invictus said these would provide a meaningful increase at a higher valuation than the placing if the company continues to achieve more success during its drilling.
The company’s plans to explore Zimbabwe’s Cabora Bassa Basin have attracted significant attention from the international community. The basin has been described as one of the last underexplored basins in Africa, with a high potential for hydrocarbon discoveries.
According to Invictus Energy, the seismic survey is the next critical step in its exploration program. The company believes that it has identified a number of promising leads that can be matured into drillable prospects.
Invictus Energy’s Managing Director, Scott Macmillan, expressed his gratitude to shareholders who participated in the placement and welcomed new investors that are joining the company’s journey. He added that the company is committed to delivering value for its shareholders and to exploring Zimbabwe’s significant potential in the oil and gas sector.
The recent funding is expected to enable Invictus Energy to move forward with its exploration program, which is expected to have significant benefits for Zimbabwe’s economy. The country is currently facing a severe energy crisis, with frequent power cuts affecting households and businesses across the country.
Investing in the development of the oil and gas sector is one way that Zimbabwe can address its energy challenges and achieve sustainable economic growth. With the right investments and policies, the country can unlock its significant potential in the oil and gas sector and become a major player in the regional energy market.
Invictus Energy’s exploration program is an excellent example of the kind of investment that Zimbabwe needs to attract to achieve sustainable economic growth. By attracting foreign investment and partnering with local stakeholders, the company is demonstrating that it is possible to explore the country’s potential while creating value for local communities.
The successful implementation of Invictus Energy’s exploration program will have significant benefits for Zimbabwe’s economy, including job creation, increased revenue generation, and improved access to energy for households and businesses. The company’s commitment to responsible and sustainable exploration practices is also an important consideration in ensuring that the benefits of oil and gas exploration are shared fairly and equitably among all stakeholders.