Continental Focus, International Reach

Aminex Raises Cash for Accelerated Development in Tanzania

Monday, February 11, 2019

Aminex plans to accelerate work on its Kiliwani North Development License and Nyuni Area PSA in Tanzania. The board decided to seek funds for this acceleration in work to take advantage of depressed market conditions in the service industry.

The company raised approximately £1.85 million (approximately $2.40 million) before expenses through the issue of 127,226,781 new ordinary shares in the capital of Aminex at a price of Stg 1.45p per share (the placing shares). The net proceeds of the Placing will finance the reprocessing of the existing 2D seismic, to plan for the acquisition of new 3D seismic and to transition Kiliwani South from a prospect to a drill ready target (management estimates of 57 Bcf initially in place).

The company continues to progress its farm-out agreement with the Zubair Corporation for its Ruvuma PSA, where it will be potentially fully carried through to full field development with meaningful cashflow. Following approval of the farm-out by shareholders of the company on January 4, the executive management teams of ARA Petroleum Tanzania Limited and Ndovu Resources Limited have met with officials from the Tanzanian government who reiterated their support for an accelerated development program to fast track gas production.

Application will be made to Euronext Dublin and the UK Listing Authority for the Placing Shares to be admitted to the Official Lists and application will be made to Euronext Dublin and the London Stock Exchange for the Placing Shares to be admitted to trading on their respective regulated markets for listed securities. It is expected that such admission will become effective and that dealings will commence in the Placing Shares at 8.00 a.m. (London and Dublin time) on February 14, 2019. Following admission, the enlarged share capital and the total voting rights of the Company will be 3,770,684,843.

Aminex Chief Executive Jay Bhattacherjee commented: “We are pleased to receive the continued support of our two largest shareholders in order to accelerate development over Kiliwani, where the Company continues to remediate its Kiliwani North 1 well to bring it back into production, and Nyuni, while we make good progress in closing out the Farm-Out of Ruvuma.”