Eco (Atlantic) arranges $10M (U.S.) private placement

Executive Summary

• Eco (Atlantic) Oil & Gas Ltd. has entered into a binding agreement for a non-brokered private placement to raise $10 million (U.S.) through the issuance of new common shares and warrants to Israeli-based institutional investors.
• The company will issue 26,909,091 new common shares at 27.5 pence per share, accompanied by one warrant per share exercisable at 40 pence for three years.
• Proceeds will be allocated to geological/geophysical work ($5M), new venture identification ($2.5M), and general/administrative purposes ($2.5M).

Key Details

• Transaction Structure: Non-brokered private placement with Israeli-based institutional investors.
• Gross Proceeds: $10 million (U.S.) / ~£7.4 million / ~$13.8 million (Canadian).
• Shares Issued: 26,909,091 new common shares.
• Issue Price: 27.5 pence per share (approx. 51 Canadian cents), based on the closing price on Jan. 22, 2026.
• Warrant Terms: One warrant issued per subscription share; exercisable for one new common share at an exercise price of 40 pence (74 Canadian cents); exercisable for three years from the date of issue.
• Dilution Impact: Subscription shares represent approximately 8.54% of existing issued share capital (non-diluted) and 7.86% of enlarged share capital (non-diluted).
• Post-Issuance Share Count: Total issued share capital will be 342,141,027 common shares.
• Use of Proceeds:
  • $5 million (U.S.) for planned geological and geophysical work.
  • $2.5 million (U.S.) for identifying and pursuing potential new ventures.
  • $2.5 million (U.S.) for general and administrative purposes.
• Conditions Precedent: AIM admission becoming effective, receipt of funds, and receipt of necessary regulatory approvals, including approval from the TSX Venture Exchange.
• Admission Timeline: Application for admission to the London Stock Exchange (AIM) expected around Jan. 30, 2026, at 8 a.m. GMT. Application also being made to the TSX-V, subject to approval.

Notable Quotes

• "We are delighted to welcome a number of leading Israeli institutional investors to our share register through this $10-million (U.S.) direct subscription. Their participation and long-term commitment represents a strong endorsement of the quality of our Atlantic Margin portfolio, our exploration and value-creation strategy, and our disciplined, capital-efficient approach." — Gil Holzman, President and CEO
• "This funding strengthens our financial position and provides us with the flexibility to accelerate key technical and corporate work programs across our licences in Guyana, Namibia and South Africa throughout 2026 while maintaining a strong balance sheet and preserving significant upside for shareholders." — Gil Holzman, President and CEO