EMPIRE Energy has raised A$10 million through a placement to fund its upcoming drilling campaign in the Northern Territory’s Beetaloo Sub-basin.

The placement to institutional and sophisticated investors was offered at 30 cents per share, doubling its cash in the bank to A$20 million. 

Empire is planning to drill its Carpentaria-1 in permit EP187 next month, using a Schlumberger rig. 

Empire managing director Alex Underwood said he was "pleased with the strong level of support" from the capital raise. 

"Empire is now well funded to progress its planned work programs across its extensive holdings in the Beetaloo and McArthur basins," Underwood said. 

"We believe [our tenement] will create substantial value for our shareholders, broad and sustainable economic benefits to the people of the Northern Territory, and energy security for Australia and the broader region." 

Civil works, including well pad construction, and water bore drilling began earlier this month. 

The Carpentaria-1 exploration well will be a vertical well drilled to a depth of 2900 metres and targeting the Velkerri Shale Formation. 

Contractor InGauge, and Empire Energy, have designed the well to include an extensive evaluation program consisting of coring which will give valuable insight into the geology of the target formations.

This data would then form the basis of the next phase work program and recoverable volumes of oil, gas and liquids.

Independent certifiers Netherland Sewell and Associates gave its permit EP187 a best estimate prospective resource of 13.6 trillion cubic feet of gas, with 2.3Tcf in the Velkerri Shale and 14 million barrels of oil equivalent in the Kyalla shale.

Source: Energy News Bulletin

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