Tower Resources plc (the "Company" or "Tower" (TRP.L, TRP LN)), the AIM listed oil and gas company with its focus on Africa, is pleased to announce a placing of 138,666,666 million Ordinary Shares comprising 133,333,333 Ordinary Shares (the "Placing Shares") to raise gross proceeds totalling £500,000 at a price of 0.375 pence per share (the "Placing Price") (the "Placing"), and 5,333,333 Ordinary Shares which the Company's Broker Turner Pope Investments (TPI) Ltd has agreed to receive in lieu of part of its commission at the Placing Price (the "Commission Shares").
The Placing proceeds will be used to provide working capital for the Company while the previously announced farm-out moves towards completion.
Jeremy Asher, Tower's Chairman & CEO commented:
"We have carried out this small placing to mitigate the risk of running low on cash as we seek to complete our well financing. We have kept the placing small because we do not like issuing shares at our current share price, given the superior economics for our shareholders of farming out on our agreed terms. Nevertheless, we felt that it was prudent to have some cash cushion at this time."