Omega takes 19.4% stake supporting $16.6m raise

• Omega Oil and Gas to invest up to $14.6m for 19.43% stake in Elixir
• Nero Resource Fund to invest $2m in conditional tranche 2 placement
• Placement to unlock Phase-2 of Elixir's Strategic Plan including appraisal well

Elixir Energy Limited (ASX: EXR) has announced that Omega Oil and Gas Limited will invest up to $14.6 million to acquire a 19.43% stake in the company through a two-tranche placement. Additionally, Nero Resource Fund has agreed to invest a further $2 million in a conditional tranche 2 placement, taking the total capital raise to approximately $16.6 million. This new capital will allow Elixir to fund several critical operations to achieve its strategic objectives across both Phase 1 (retention) and Phase 2 (Reserve definition) of its Strategic Plan. Key activities include the drilling of the Lorelle-3 appraisal well, which will include a horizontal sidetrack of at least 1,000m and multi-stage fracture stimulation, as well as the fracture stimulation and production testing of the Diona-1 exploration well. Additionally, the company will undertake a 200km 2D seismic program in ATP2057 to define additional Permian reservoirs. Omega's investment validates the importance, quality and scale of Elixir's significant Taroom Trough assets, and the additional investment from Nero Resource Fund demonstrates further validation from a leading institutional resource investor.

Elixir will have an estimated pro-forma cash position of approximately $25m plus its R&D Advance Finding upon completion of the capital raising.