Buru will use the capital raised to finance the acquisition of Gujarat NRE Oil Ltd for $36 million in cash. Gujarat NRE owns 90% of two significant Canning Basin permits, EP457 and EP458, which contain well defined prospective trends and well developed structural features that Buru will use to complement its existing acreage portfolio.
The funds raised from the placement will also be used by Buru to purchase 50% of an application for an exploration permit from Backreef Oil for $3.5 million.
Together, these acquisitions will increase Buru’s net acreage position in the Canning Superbasin to approximately 17 million acres, allowing uninterrupted access to the most promising parts of the Canning Basin. Buru is now ideally positioned for future consolidation as well as continuing the strategic exploration of its many highly prospective developments.
The King & Wood Mallesons team was led by Perth Partners Daniel Kirk and David Perks, who were supported by Alexei Fedotov (Senior Associate) on the capital raising, Jared Franicevic (Senior Associate) and Michael Georgiou (Solicitor) on the acquisition of Gujarat NRE Oil and Sakhawat Kabir (Solicitor) on the permit acquisition from Backreef.
King & Wood Mallesons also advised Buru Energy on its earlier capital raising in June 2012.
Elle QuinnCommunications ManagerT +61 2 9296 3730
M +61 424 168 080