Melbana Energy Limited (ASX: MAY) has announced the completion of a $7 million placement to existing and new sophisticated and professional investors. Melbana is an Australian oil and gas exploration and development company. The placement, which saw excess demand, involves the issue of 411,764,706 new fully paid ordinary shares at $0.017 per share, representing a 22.7% discount to the company’s last closing price on 18 August 2025.
Each placement share will be accompanied by one attaching option with an exercise price of $0.02, expiring one year from the date of issue. Furthermore, one bonus option will be issued for every two attaching options exercised, with an exercise price of $0.03 and expiring three years from the date of issue. The issue of both the attaching options and bonus options, as well as participation by the company’s directors in the placement, are subject to shareholder approval.
The proceeds from the placement will be allocated towards Melbana Energy’s share of drilling costs for the Amistad-2 production well and for general corporate purposes. Settlement and allotment of the placement shares are expected on 26 August 2025, with quotation on the ASX anticipated on 27 August 2025.
Bell Potter Securities Limited and PAC Partners Securities Pty Ltd acted as Joint Lead Managers to the placement, while Dentons served as legal advisor to Melbana. An Extraordinary General Meeting (EGM) is scheduled for mid-October 2025 to approve the issue of attaching options and bonus options.
