AFR: Warrego Energy taps Petra Capital for $50m raising


Perth basin oil and gas play Warrego Energy is cap in hand in front of investors asking them to help fund the group’s West Erregulla project.

Warrego Energy had stockbroker Petra Capital kick off a $50 million equity raising on Thursday morning, offering 227 million new shares at 22¢ each.

The deal was structured as a two-tranche placement at a 10.2 per cent discount to the last close and a 14.8 per cent discount to the 10 day trading VWAP, according to terms sent to funds.

Funds raised would be used for long lead items for a gas processing plant and gathering system at the company’s West Erregulla project, the term sheet said.

Petra Capital was calling for bids by 4pm on Thursday.

Warrego Energy shares last traded at 24¢ each to value the group at $244 million on a market capitalisation basis.

Source: The Australian Financial Review