TMK Energy (ASX:TMK) has secured around AU$3.5 million through an oversubscribed placement, issuing 1.75 billion shares at AU$0.002 each, a 20% discount to the five-day volume weighted average price, according to a Monday filing with the Australian bourse.

The company will issue 1.68 billion new shares under its placement capacity, with a further 75 million shares to be issued to board members, pending shareholder approval, the filing said.

The new shares, excluding those for board members, will be issued on or around Sept. 19, per the filing.

The proceeds will fund the next phase of the Gurvantes XXXV coal seam gas project, including commercial production, securing partners, and a focused exploration program, the filing added.