Horizon Petroleum Raises $200,000 Through High-Yield Convertible Debenture Financing

Horizon Petroleum ( (TSE:HPL) ) has issued an announcement.

Horizon Petroleum has closed a secured convertible debenture unit financing for gross proceeds of $200,000, issued at $1,000 per unit to a single investor, bearing 15% annual interest over 24 months and ranking behind existing May 2025 debentures. Investors may convert each $1,000 debenture into equity units consisting of 10,000 common shares at $0.10 and 5,000 warrants exercisable at $0.15 for three years, while the company pays $14,000 in finder’s fees plus 140,000 finder warrants, uses proceeds for general corporate purposes, and awaits TSX Venture Exchange approval, which will influence its near-term liquidity and capital structure.

All securities from the financing are subject to a four-month-plus-one-day hold period, and the TSX Venture Exchange has treated the transaction as a loan with bonus warrants. The relatively small but high-interest capital raise underscores Horizon’s continued reliance on structured convertible debt to fund operations as it advances its European oil and gas portfolio, with potential dilution for shareholders if conversion rights and warrants are exercised.

More about Horizon Petroleum

Calgary-based Horizon Petroleum Ltd. is an oil and natural gas company focused on the appraisal and development of conventional onshore resources in Europe. The company is led by a management team and board comprised of industry professionals with significant international experience in the hydrocarbon sector.

Average Trading Volume: 42,913

Technical Sentiment Signal: Sell

Current Market Cap: C$3.2M

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