Greenfield has an 80% interest in the Bahar gas field and the Gum Deniz oil field, both offshore Azerbaijan and that contain reserves of 150mln barrels.
Production currently is 4,400 barrels daily but Greenfield wants to boost this to 30,000 barrels using the money raised to fund an active development programme.
Global oil trading giant Vitol, the group’s largest shareholder with a 43% stake, has agreed to swap US$20mln of debt into equity and take a lower rate of interest of the outstanding debt.
John Harkins, chief executive, said: “By leveraging a stronger balance sheet, a largely fixed cost-base and enhanced operating efficiencies, we aim to implement an active development programme that will deliver a material step-change in production volumes, cash flows and EBITDA over the next three to four years.”
He added he was delighted with Vitol’s decision to convert debt into equity, which was a major endorsement of the business.