Prospectiuni plans to borrow up to EUR10 million to finance working capital, while a loan of up to EUR4.2 million will be used to purchase equipment for exploratory drilling at its block in Hunedoara.
The company also approved extending credit lines worth EUR5 million taken from Romanian lender Banca Comerciala Romana (BCR).
Prospectiuni reported a pretax profit of 41.4 million lei (EUR9.5 million) in 2011, well above the RON1.8 million reported in the previous year. Sales increased 93% on the year to RON315.5 million.
Prospectiuni is 55.7%-owned by local businessman Ovidiu Tender, while regional investment fund SIF Muntenia holds an 11.82% stake.
On the Bucharest bourse Tuesday, Prospectiuni closed down 0.12% at RON0.1728 a share. (EUR1=RON4.3746)