A GBP5mln placing in July will provide funds for the programme, while in Indonesia negotiations are underway over a gas sales agreement as the Mako field moves towards a final investment decision.
Drilling at Jade will require additional funding for final drilling preparation activities and the drilling (and testing) programmes and Empyrean added it was confident of meeting the full funding commitment after the July fundraise.
In a statement alongside results for the year to March 2020, Tom Kelly, chief executive, said “Empyrean’s focus during the year was largely to complete the critical de-risking work required ahead of the planned drill campaign in China, which is now on track to commence during 2021 with the drilling of the Jade prospect.
“In addition, following the exploration and appraisal success achieved in Indonesia in late 2019 the operator Conrad and the joint venture partners are working through all of the practical steps to put this exciting project into production.”
The group is still in its exploration phase so generated no revenues in the year to end-March, 2021, while losses for the year fell slightly to US$953,000.