Tamboran Resources (ASX:TBN) entered into subscription agreements to issue about 3.1 million shares of common stock in a private investment in public equity (PIPE) to institutional investors at $17.74 per share, according to a Wednesday Australian bourse filing.

The price represents a 15% discount to the closing price on May 12, and the company expects to receive gross proceeds of about $55.4 million, excluding placement agent fees and other offering expenses.

The company expects to be fully funded to drill and complete the remaining three wells required to deliver first gas under the proposed about 40 million cubic feet per day and about 19 million cubic feet per day net to the company from the Shenandoah South pilot project after the PIPE.

First gas from the project is expected by mid-2026, subject to weather and approvals, the filing said.

After the drilling, the company plans to stimulate four wells under a single campaign to maximize cost and operational efficiencies planned for late this year or the first half of 2026, subject to joint venture approval, the filing added.

The company's shares rose nearly 7% in recent Wednesday trade.