Leon Energy raises €70m

IRISH oil and gas exploration company San Leon Energy has successfully raised more than €70 million in a share placing aimed at putting in place funding for a significant exploration programme across Europe and northern Africa.

The Dublin-based AIM-listed company said yesterday that it has agreed terms for a conditional placing of 331.3 million new ordinary shares in the company, at a price of 18p per share — which will raise proceeds of about £59.6m (€70.4m).

The funds will broadly be used to fund the company’s extensive seismic and drilling programme — in Poland and Morocco — planned for the next 18 months, but will also go towards repaying the company’s convertible debt and overheads.

The planned exploration work will focus on the drilling of two on-shore wells in Morocco, each targeting oil and gas plays; seismic work off the coast of Albania (in preparation for a potential farm-out process) and drilling up to nine wells in Poland.

San Leon has assets in Poland, Italy, Morocco, Holland, North America and Ireland.