NG Energy Upsizes Financing To $30.0 Million Due To Demand

Strong demand evidently exists for the convertible debenture offering announced by NG Energy (TSXV: GASX) recently. The firm last night revealed that it will be upsizing the offering as a result of the demand.

The financing will now see the company sell up to $30.0 million senior secured convertible debenture units, with each debenture priced at $1,000. Debentures contain an interest rate of 10% per annum, and a maturity of three years from the date of issuance. Each unit comes with 1,000 warrants, which contain an exercise price of $1.08 per share and are valid for three years.

The debentures are convertible at a price of $0.90 per common share, and can be converted at any time prior to maturity.

READ: NG Energy Hits 783 Feet Of Net Gas Pay At Brujo-1x Well

Funds from the financing were previously indicated to be slated to be used for the completion of the Brujo-1x gas well, the drilling of the Hechicero-1x well, as well as working capital. Both of the wells are slated to be completed before the end of the year.

Insiders have also committed to put forth an estimated 10% of the financing.

NG Energy last traded at $0.92 on the TSX Venture.


FULL DISCLOSURE: Canacom Group, the parent company of The Deep Dive has been compensated to provide coverage on this company. The company has been compensated to cover this story on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.

Leave a Reply

Video Articles

Endeavour Mining Q1 Earnings: Cash Flow Is King

G Mining Oko West Feasibility: Move Fast, Break.. Nothing?

New Gold Q1 Earnings: What’s Behind The Market’s Surprising Reaction?

Recommended

First Majestic Posts Record Cash Flows In Q1 As Production Costs Fall

Brazil Potash Secures Funding In Support Of US$2.5 Billion Autozales Project

Related News

NG Energy Announces Re-Entry Of Istanbul-1 Well Slated To Occur This Month

NG Energy (TSXV: GASX) continues to develop its natural gas project in Colombia. The company...

Thursday, February 11, 2021, 08:59:04 AM

NG Energy Begins Drilling First Well At Sinu-9

NG Energy International (TSXV: GASX) has finally begun the process of developing its flagship asset,...

Tuesday, May 31, 2022, 09:52:00 AM

NG Energy: Beacon Reiterates C$2.80 Price Target

On October 7, NG Energy’s (TSXV: GASX) announced that they secured a $7 million, non-brokered...

Tuesday, October 12, 2021, 11:40:00 AM

NG Energy: Beacon Raises Price Target To $3 Following Resource Update

On March 18th, NG Energy (TSXV: GASX) released an updated estimate for their natural gas...

Monday, March 22, 2021, 11:51:00 AM

NG Energy Preps For Well Re-Entry, Reaches Agreement For Pipeline Tie-In

NG Energy International (TSXV: GASX) this morning had a positive update for investors on the...

Friday, October 29, 2021, 08:23:31 AM