08:35 AM EDT, 07/30/2024 (MT Newswires) -- Reconnaissance Energy Africa ( RECAF ) , which dropped 2.8% yesterday, on Tuesday announced the filing of annual disclosure documents for the year ended March 31.

The disclosures include audited annual consolidated financial statements, management's discussion and analysis (MD&A), annual information form (AIF), annual statement of reserves data and other oil and gas information.

The company also announced estimates of prospective resources to the Reconnaissance Energy Africa ( RECAF ) interest in certain prospects and leads located in Petroleum Exploration Licence 73 (PEL 73), Kavango Basin, Namibia as of March 31, 2024 (the NSAI Report).

The company reported a net income of $41 million, $0.20 per share, for the year ended March 31, 2024, driven by the sale of Renaissance Oil Corporation in the fourth quarter of 2023.

The company raised gross proceeds of $8.7 million from equity offerings in 2023, and raised gross proceeds of $17.3 million via bought deal public offering in April 2024.

The company signed a memorandum of understanding with BW Energy Limited, for a 20% working interest in PEL 73, including a $22 million, equity investment to support a multi-well exploration program, and additional contingent payments of up to $171 million, based on certain development, production and cash flow milestones, with total potential exposure of the deal is $193 million.

"This transaction maximizes cash up front for exploration drilling and provides significant cash for development expenditures on success, while still retaining a high level of working interest for ReconAfrica and its shareholders," said Brian Reinsborough, president and CEO, in a statement.