Australian company Invictus Energy is seeking shareholder approval to finalize the second tranche of a US$10 million funding round for the development of its oil and gas project in Zimbabwe’s Cabora Bassa Basin.
Late last year, Invictus made significant discoveries of two condensate gas deposits in the Cabora Bassa Basin at two exploration wells in Mbire, Mashonaland Central Province.
In a recent update, Invictus announced that it will seek this approval during an Extraordinary General Meeting scheduled for October this year.
Earlier this month, the company, which is primarily listed on the Australian Stock Exchange, also announced its listing on the Victoria Falls Stock Exchange (VFEX) as part of a private placement aimed at raising the US$10 million from local institutional investors.
This placement is managed by Mangwana Capital (Private) Limited, with US$5 million underwritten by the Mutapa Investment Fund, Zimbabwe’s sovereign wealth fund, which also holds a 10 percent stake in Invictus.
“Following regulatory approval of the meeting notice, the company will hold an Extraordinary General Meeting (EGM) in early October to seek shareholder approval to ratify the second tranche of the US$10 million placement. This investment was initially announced on July 29, 2024, through long-term shareholder Mangwana Capital, partially underwritten by the Mutapa Investment Fund,” the company stated.
The second tranche, aimed at raising US$3.5 million, will fund further advancements in the Cabora Bassa Project. This includes flow testing of the Mukuyu-2 well, appraisal drilling, well test design studies, reservoir engineering, and early-stage development planning.
This strategic investment is a landmark event for Invictus, as it allows Zimbabwean investors to hold and trade company securities through its dual listing on the VFEX.
The oil and gas project is expected to enhance Zimbabwe’s energy security, drive economic growth, increase government revenues, and create jobs and related industries.
Additionally, as part of the EGM, Invictus will seek approval to grant incentive options to its board of directors, replacing the director incentive options that expired last month. These incentive options will have an exercise price approximately 50 percent of Invictus’s recent volume-weighted average share price and will have a three-year term.
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