Niger Delta E&P plans to raise additional $400 million from capital market

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 –   Exploration & Production Plc has perfected plans raise additional 400 dollars through private placement and Initial Offering (IPO) the Nigerian capital market.

Dr Layi Fatona, the company’s Managing Director, said this at NASD OTC PLC investors forum Monday in .

Fatona said that the company would also extend its petroleum exploration activities across sub-saharan Africa.

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He said the company had already completed the first tranche of 100 dollars capital raising exercise through private placement.

Fatona said that the next tranche of 300 dollars would be sourced through IPO that would open in few weeks.

He said the company was also seeking opportunities outside Nigeria and had entered into partnership with the State National Company of Southern for low cost entry in oil and gas exportation.

He added that the synergy would transform the company a fully integrated Nigerian Oil and gas company a Pan African company.

The Managing Director said that the capital raising would fast-track the company’s repositioning exercise, through the acquisition of more assets and increase gas production.

“We are the only indigenous company that can boast of ownership of a mini refinery. Last year, we sold a total of 20.2 million litres of diesel Port Harcourt refinery.

We contribute to domestic market notably diesel. We have 2,000 licensed diesel buyers that come to facility for diesel,” he said.

According to him, the company since inception has delivered 60 million litres of diesel to the Nigerian market.

“We are currently embarking cost cutting exercise and we are looking at other areas especially diversification and capital raising to increase production and acquire additional assets and facilities.

“We would expand penetration in serving Nigerian Market. We would be a very strong player in Nigeria gas market.

“We have monetised and commercialised gas and that has given us enough leverage.

“We also to play in power generation and we would negotiate delivery of other products,” Fatona said.

He also urged shareholders to invest in the company, noting that it has consistently paid dividend to investors. (NAN)