Invictus starts fieldwork in Muzarabani, raises more working capital

Invictus Zimbabwe
Invictus MD Scott Macmillan

Invictus Energy says it has started field operations in Muzarabani, as part of a programme leading to planned exploration drilling in 2021.

The company has also raised additional funding for the preparatory work by placing more shares with Mangwana, the Zimbabwean private equity fund that took up a stake in Invictus in April this year.

The start of field operations in the Cabora Bassa project follows Environmental Management Authority (EMA) approval of the company’s environmental management plan, the easing of COVID-19 restrictions and the completion of traditional ceremonies in the Muzarabani and Mbire districts.

Invictus will now conduct a “reconnaissance programme and baseline survey”, which see the company work to locate a site for drilling an exploration well. Drilling would be done only after the rain season ends in 2021.

Reflecting the scale of the work still ahead before any drilling can start, the fieldwork will have to capture details such as topography, existing access roads, drainage, vegetation cover, soil types, rock exposures and sampling of any natural oil and gas seeps. Invictus will also have to locate any areas that have been developed, such as buildings or cultivated areas, as well as any sites of cultural, religious or historic importance.

An Invictus community consultative meeting

The reconnaissance stage will last for around 30 days, and the company targets to get it done before the start of the wet season.

“The company has a window of opportunity to carry out a reconnaissance program prior to the onset of the rainy season so that we can map out the routes for the planned seismic acquisition campaign next year. This exercise will enable us to map out the optimal route ahead of the survey which will reduce the acquisition time and maximise efficiency of the survey,” Managing Director Scott Macmillan said Monday.

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Invictus has completed a second tranche of funding from the Mangwana Opportunities Fund at a premium of 10% to the previous closing share price. The funds will be used for the field programme and general working capital, said Macmillan.

The placement raises the equivalent of US$160,000 through the placement of 3,404,186 shares at a share price of $0.066, a 9% premium to the last closing price.