AIM-listed oil and gas explorer Tower Resources plc says regulatory approvals for its planned farm-out deal in Namibia are moving forward, as the company simultaneously secured new funding to stabilise its finances and repay a bridge loan.
The company announced that it has raised £1,499,999 (about N$36 million) through a subscription for 6.3 billion new ordinary shares priced at 0.02375p per share, representing a discount of about 5% to the closing bid price on 13 March 2026.
Most of the proceeds will be used to repay a £1 million bridge loan plus accrued interest that Tower previously drew down in three tranches during 2025.
The remaining funds will support working capital as the company continues to advance exploration activities in Africa.
Alongside the capital raise, Tower provided an update on the approval process for its farm-out transactions with partner Prime Global Energies Limited, covering assets in both Cameroon and Namibia.
In Namibia, Tower confirmed that it recently met with the Upstream Petroleum Unit, which reports directly to the Office of the President, together with officials from the Ministry of Mines and Energy. Following those discussions, the company was informed that its request to farm out a 25% interest in the petroleum exploration licence PEL96 to Prime will now be expedited.
Namibia’s national oil company, Namcor, has completed its due diligence review of Prime and is reportedly awaiting additional documentation from Tower’s local partner before finalising its assessment.
Tower said it has already entered the first renewal period of PEL96, meaning the licence remains active while the farm-out approval process continues.
The company also reported progress in Cameroon, where authorities are considering approval of a 42.5% farm-out interest in the Thali licence to Prime and a one-year extension of the exploration period.
Tower chairman and chief executive Jeremy Asher said the company believes the regulatory processes are nearing completion.
“We are very pleased to be approaching the end of the process to receive our farm-out approvals, lengthy as it has been. We look forward to having more to say about these initiatives soon,” Asher said.
Tower added that it continues to work with Prime on further data acquisition across Namibia’s PEL96 block, which lies offshore along the country’s increasingly active exploration frontier where international companies are searching for new hydrocarbon discoveries.
