BPH Energy Secures $1 Million Funding to Boost Hydrocarbon and Cortical Investments

Key Highlights:

- $1.044 Million Raised: BPH Energy Ltd. (ASX: BPH) successfully secured $1.044 million through a strategic placement.

- Discounted Placement: Shares were issued at $0.018, representing an 18.2% discount to the last closing price.

- New Sophisticated Investors: High net worth individuals, family offices, and resource funds are among the new investors.

- Focus on Hydrocarbon Projects: Majority of the funds will be directed towards hydrocarbon exploration, addressing the current gas supply crisis.

- Expansion of Cortical Dynamics: Significant allocation for the development of Cortical Dynamics, a key associate of BPH.

BPH Energy Ltd. (ASX: BPH) has successfully raised $1.044 million through a placement, bringing in new sophisticated investors, including high net worth individuals, family offices, and dedicated resource funds. This injection of capital will enable the company to accelerate its exploration and development efforts in the hydrocarbon sector and support the next phase of growth for Cortical Dynamics, its associate company.

The placement saw the issuance of 58,028,337 new fully paid ordinary shares at $0.018 per share, a price reflecting an 18.2% discount to BPH's last closing price of $0.022 per share and a 16.3% discount to the 5-day VWAP of $0.0215. These shares will be issued under the company’s existing placement capacity as per ASX Listing Rule 7.1A.

Participants in the placement will also receive one free Attaching Option for every two shares subscribed, exercisable at $0.03 each and expiring 12 months from the date of issue. The company will seek shareholder approval for the issuance of 29,014,168 Attaching Options at a general meeting on or about September 25, 2024. Additionally, the lead managers of the placement, Oakley Capital Partners Pty Limited and 62 Capital Limited, will be compensated with a cash fee and Broker Options, subject to shareholder approval.

BPH’s Executive Director, David Breeze, expressed satisfaction with the strong support received during the placement, noting that the funds raised would significantly enhance the company’s ability to pursue its strategic goals. "The funding allows BPH to accelerate the exploration programs to unlock the potential on our gas projects, especially with the current gas supply crisis, as well as assist the next phase of Cortical Dynamics' expansion," David Breeze commented.

The intended use of the raised funds is strategically planned:

- $0.794 million will be allocated towards the exploration and development of BPH’s oil and gas investments.

- $0.1 million will cover working capital requirements, including the costs associated with the placement.

- $0.15 million is earmarked for the continued development of Cortical Dynamics.

The capital raise positions BPH strongly as it continues to navigate the dynamic energy landscape, with particular emphasis on hydrocarbon exploration amidst a tightening global gas supply. Moreover, the funding supports the ongoing development of Cortical Dynamics, further reinforcing BPH’s diversified investment strategy.

As of 12th August 2024, BPH Energy Ltd. shares are trading at A$0.019.

About BPH Energy Ltd.  

BPH Energy Ltd. (ASX: BPH) is a diversified company with interests in the energy sector, particularly focused on hydrocarbon exploration and biomedical technology through its investment in Cortical Dynamics. The company leverages its strategic investments to drive growth and deliver value to its shareholders in a rapidly evolving market landscape.