AXP Energy Limited (ASX: AXP, OTC US: AUNXF) has announced it has received firm commitments to raise A$2.7 million (before costs) through a two-tranche placement to sophisticated, professional, and institutional investors. AXP Energy is an oil & gas production and development company with core operations in Colorado. The company is focused on repurposing stranded gas at its 100%-owned Pathfinder Field for power generation and plans to sell this power to data centre operators.
The issue price is A$0.0010 per share, representing no discount to the 15-day VWAP. The placement includes the issue of 2,700,000,000 fully paid ordinary shares with a 1 for 3 free attaching option, exercisable at A$0.0020 and expiring 24 months after issue. Alpine Capital acted as Sole Lead Manager and bookrunner to the placement. The oversubscribed capital raising was supported by multiple institutional and strategic investors.
According to the announcement, funds raised will be primarily used to finalise the lease of 1,400 acres in Kay County, Oklahoma, which includes over 30 drilling locations. The funds will also go towards the drilling of two vertical wells in Oklahoma and the installation of gathering equipment to facilitate oil and gas production. A portion of the proceeds will be allocated to the expansion of stranded gas utilisation through Bitcoin Mining operations in collaboration with BitFuFu and other third parties. Further funds will also go towards securing additional leases already earmarked in Oklahoma for further scale-up of gas-to-power-to-bitcoin mining operations.
Managing Director Dan Lanskey stated that AXP has focused on proving up a small-scale gas-to-power-bitcoin mining operation in Colorado, delivering stranded gas, power generation and site services. He added that this operation has allowed them to collaborate with NASDAQ-listed Bitcoin Miner BitFuFu. Tranche 1, consisting of 1,671,170,169 shares, will be issued under ASX Listing Rules 7.1 & 7.1A. Tranche 2, consisting of 1,028,829,831 shares and 900,000,000 options, is subject to shareholder approval at an Extraordinary General Meeting expected on Wednesday, 8 October 2025.
