ReconAfrica’s latest N$136.6 million (C$10 million/US$7.4 million) equity raise brings the company’s total disclosed financings since 2020 to about N$3.10 billion (C$227 million/US$168 million).
The funds will advance exploration and appraisal on its newly acquired Ngulu block offshore Gabon while supporting ongoing work in Namibia’s Kavango Basin.
Since 2020, the company has steadily tapped investors to fund its ambitions. In 2020, it secured C$23 million, followed by C$41.4 million in 2021 and C$47.5 million in 2022.
The pace continued in 2024 with raises of C$17.5 million and C$38.8 million, before adding C$19 million earlier in 2025.
Now, with this latest C$10 million, ReconAfrica has crossed the C$227 million mark. Much of this capital has been channelled into seismic acquisition, appraisal drilling, and well development in Namibia’s Kavango Basin, while part of it funded the farm-down to BW Energy on PEL 73.
The newest tranche is earmarked for seismic reprocessing, geological and geophysical studies, and development of the Loba Complex under the Ngulu Production Sharing Contract in Gabon, as well as working capital requirements.
Management, directors, and the president’s list of investors are contributing about C$3 million (N$41 million) of the raise, signalling confidence from within.
Reconnaissance Energy Africa has meanwhile drilled the Kavango West 1X well in Namibia to a depth of 2,300 metres on its way to a planned total depth of 3,800 metres.
The well, which spudded on 31 July 2025, has reached casing depth above the Otavi carbonate reservoir. Intermediate logging is underway, with results expected in the fourth quarter of 2025.
Brian Reinsborough, President and CEO of ReconAfrica, said drilling operations in Namibia are proceeding on schedule.
“We are currently at the last casing depth immediately above the Otavi reservoir. Once the casing is set, we will begin drilling the Otavi carbonate section, extending over 1,500 meters before reaching a total depth in the well of approximately 3,800 meters.
“We are on track to reach TD and are expecting to release results in Q4 2025,” he said.
ReconAfrica has agreed with Research Capital Corporation as lead underwriter and sole bookrunner, with Canaccord Genuity Corp. and Haywood Securities Inc. as co-underwriters, for the overnight marketed offering of units at C$0.60 (N$8.20) per unit.
Each unit consists of one common share and one warrant exercisable at C$0.72 (N$9.83) for 24 months.
The offering is expected to close on or about 29 September 2025.
In September 2025, ReconAfrica entered into the Ngulu PSC offshore Gabon with Record Resources Inc., the Gabon Oil Company, and the Republic of Gabon. ReconAfrica holds a 55% working interest and operatorship, with Record at 20%, GOC at 15%, and the Republic of Gabon at 10% carried.
The Ngulu block covers 1,214 km² in shallow water in central Gabon. It includes the Loba oil field discovery, made in 1976 with 140 metres of gross pay, and has a potential production of ~20,000 barrels per day.
There are 28 mapped exploration prospects across pre-salt and post-salt plays.
Reinsborough said the company has spent the past year looking for a complementary addition to the existing high-potential exploration program in Namibia.
“The addition of the offshore Ngulu PSC accomplished many of our goals. We have added near-term development drilling opportunities with line of sight to production and cash flow, low-risk appraisal drilling, and multiple high-potential exploration plays in a proven hydrocarbon basin with nearby infrastructure,” he said.
The company has committed during the initial four-year PSC term to geological and geophysical studies, 3D seismic reprocessing, and drilling one exploration well.
