By Wellington Zimbowa
AUSTRALIAN Stock Exchange (ASX) listed firm, Invictus Energy is beginning field operations at its 250.000 Acres Cabora Bassa Basin in Muzarabani ahead of the planned exploration drilling in 2021.
Its national status project has also managed to raise further funding through investment vehicle company Mangwana Opportunities for the preparatory work.
“Invictus Energy Limited (“Invictus” or “the Company”), is pleased to announce that the company is set to commence a field reconnaissance program in the next fortnight and has completed a further placement for the equivalent of AUD$220k at a share price of $0.066, with the Mangwana Opportunities Fund under a second tranche of the equity funding agreement as announced on 30th April 2020,” said the company in its latest communiqué.
Furthermore, the easing of COVID- 19 lockdown restrictions and approval of Invictus’s environment management plan by the Environmental Management Authority (EMA), finalization of prerequisite traditional ceremonies in the Muzarabani and Mbire Districts are set to smoothen up the company’s business flow.
Invictus will now conduct a “reconnaissance programme and baseline survey”, which see the company work to locate a site for drilling and exploration well. Drilling would be done only after the rainy season ends in 2021.
The preliminary reconnaissance program and baseline survey to be undertaken in 30 days before the wet season will include capturing topography, existing access roads, drainage, vegetation cover, soil types, rock exposures details.
This initial process will also include the sampling of any natural oil and gas seeps, areas of development (constructions and cultivation).
“The company has a window-of-opportunity to carry out a reconnaissance program prior to the onset of the rainy season so that we can map out the routes for the planned seismic acquisition campaign, next year. This exercise will enable us to map out the optimal route ahead of the survey, which will reduce the acquisition time and maximise the efficiency of the survey,” said Scott Macmillan, managing director Monday.
Meanwhile, Invictus Energy has fulfilled its second tranche Mangwana Opportunities Fund funding crucial for field programme and general working capital at a 10 percent (%) premium to the previous closing share price.
According to Macmillan, the funds will be used for the field programme and general working capital, said Macmillan.
Invictus Energy notes that an equivalent of $AUD222.148 was raised through the placement of 3,404,186 shares, at a share price of $0.066, a 9% premium to the last closing price.
Mangwana’s shares are set to be held escrow for 6 months from the date of completion.
In investment terms, escrow broadly refers to a situation where a third party holds money or an asset on behalf of the other two parties in a transaction.
The equity investment agreement allows for further equity investment on the project over the next 12 – 24 months by Mangwana Opportunities and assisting the company in achieving its strategic goals in the country.
By Wellington Zimbowa