Bath-based Union Jack Oil (www.unionjackoil.com) has raised £800,000 through a share placing.

The oil and gas exploration company plans to use the funds to “take advantage of the current opportunities within the oil and gas market” by expanding its portfolio with further acquisitions. It has made an application to the London Stock Exchange for the new shares to be traded on the AIM.

Chairman David Bramhill said: “The share placing further strengthens our balance sheet and will allow us to continue to execute our strategy of focusing on acquiring interests in low-cost UK onshore exploration, appraisal,development and production opportunities.”

In July, the company acquired a 10% stake in three sites in Lincolnshire. As part of the deal, it agreed to fund 20% of the costs of developing the Keddington oil field, which is located to the east of Louth.