Prairie Provident Resources announces $9.1 million brokered equity financing for drilling in Q1 2025.

From GlobeNewswire: 2025-02-11 19:31:15

Prairie Provident Resources Inc. has announced a brokered equity financing agreement with Research Capital Corporation for up to $9,100,000, with PCEP Canadian Holdco LLC and other insiders expected to participate. The proceeds will fund drilling of two Basal Quartz horizontal wells in Q1 2025. The company’s Basal Quartz play in the Michichi area has shown strong initial results, with IP30 rates of 415 boe/d and 375 boe/d for two wells. The BQ play in the Western Canadian Sedimentary Basin is competitive, with potential internal rates of return over 300%.

The Basal Quartz play from Prairie Provident offers high returns and quick payouts, with wells estimated to cost $3.5 million each. The company holds a strategic land base in Michichi with over 40 identified BQ drilling opportunities. Prairie Provident has significant tax pool coverage and owns infrastructure in the area. The equity financing will help the company drill additional wells and further develop its assets in the Michichi area. The offering is expected to close on February 24, 2025, subject to TSX approval.



Read more at GlobeNewswire: Prairie Provident Announces up to $9.1 Million Brokered