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  • Hexagon Energy (HXG) has received commitments to raise $6.2 million via a share placement
  • Both domestic and overseas institutional and sophisticated investors have supported the raise of around 56.3 million shares at 11 cents each
  • The issue price represents a 9.5 per cent discount to the 30-day volume-weighted average price
  • The funds will primarily go towards completing the pre-feasibility study and advancing the Pedirka Blue hydrogen project in the Northern Territory
  • Settlement is expected around May 5, 2021
  • Shares are ten per cent lower at 13.5 cents each

Hexagon Energy (HXG) has received firm commitments to raise $6.2 million via a share placement.

Institutional and sophisticated investors have put their hands up in support of the raise, which will see around 56.3 million shares issued at 11 cents each.

The share price represents a 9.5 per cent discount to the 30-day volume-weighted average price and was said to be strongly bid by both domestic and overseas institutional and sophisticated investors.

Hexagon said the funds will primarily go towards completing the pre-feasibility study and advancing of the Pedirka Blue hydrogen project in the Northern Territory.

The company will also put money towards its other project obligations and working capital.

In terms of the pre-feasibility study (PFS), Hexagon has held several planning meetings with Genesis about the scope and format of the PFS towards formalisation of project planning and PFS timing.

From this, the company has been able to identify cost savings for the PFS program.

180 Markets acted as lead manager of the placement and settlement is expected around May 5, 2021.

Shares are ten per cent lower at 13.5 cents each at 12:23pm AEST.

HXG by the numbers
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