Exploration company Providence is raising €42m through the placing of convertible bonds with institutional investors.
The company says the funds raised from the bond issue will be used to fund the upcoming drilling in its Celtic Sea projects, and to fund potential new projects in the Gulf of Mexico.
The bonds carry interest of 12% a year and mature in July 2012. Bond holders can also convert the bonds into Providence shares at a price of 10 cent per share.
Providence has taken delivery of a rig to begin drilling at the Hook Head and Dunmore projects in the north Celtic Sea.
