16th May 2018 11:27
LONDON (Alliance News) - Beowulf Mining PLC, a Sweden and Finland focused mining company, said Wednesday that is will raise GBP1.5 million through the issue of 30.0 million shares at 5.0 pence per share to finance exploration and drilling and for further development of Swedish Kallak project.
The 30.0 million shares issued will bring the company's total shares to 566.3 million.
Beowulf has already invested SEK77 million, or GBP42.80 million, in Kallak and announced on May 11 that the Swedish elections could further delay the decision on whether mining can go ahead.
Beowulf's pretax loss widened to GBP1.0 million in 2017 from GBP633,229 the year before due to impairments and higher administrative expenses and it recorded no revenue in either 2017 or 2016.
"It is disappointing to raise funds at a lower price than one year ago, a result of further delays in the Kallak permitting process, but we are very pleased to have completed this fundraising, which maintains our strong cash position, and enables us to keep investing and developing projects across Beowulf's three main business areas," said Chief Executive Kurt Budge.
"While we wait for the government to decide on our application, we are not sitting idle. I am excited with the progress we are making with both our graphite portfolio and with our Atvidaberg licence, and we continue to look outside the company for merger and acquisition opportunities," he added.
Shares Beowulf Mining were down 16.7% at 5.50p on Tuesday.
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