Drilling at the onshore well in central Israel is scheduled to begin in December to gas-bearing target strata at a depth of 6,000 meters.
The price for the participation units of Globe Exploration LP (TASE: GLEX.L) have risen 40% over the past four days, including 9.3% by early afternoon today to NIS 0.366, since the company raised NIS 5.5 million in an expedited issue of participation units and warrants. If the warrants are exercised in full within 30 days, the amount raised will double. The offering follows the raising of NIS 10 million in a rights issue, half of which was invested by the company's controlling shareholder, in September.
Globe Exploration said that the proceeds will be enough to complete the drilling of the Ofek 2 well, in central Israel and to move forward on its work plans for the onshore Bar-Or and Yahel licenses in northern Israel.
Drilling is scheduled to begin in December to gas-bearing target strata at a depth of 6,000 meters. The company's resources report says that the license has contingent gross reserves of 0.6 trillion cubic feet (TCF) of natural gas with a 30% geological chance of success.
Published by Globes [online], Israel business news - www.globes-online.com - on October 25, 2012
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