28th Jun 2023 10:17
(Alliance News) - Bluejay Mining PLC said on Tuesday that it has raised GBP1.3 million through a 74.3 million placing of shares at 1.75 pence each.
Shares in Bluejay Mining dropped by 16% to 1.77 pence in London on Tuesday morning.
The London-based mineral exploration and development company focused on Greenland and Finland said that the funds raised will be focused on the company's 100% owned Hammaslahti cooper-zinc-silver-gold project in eastern Finland, where the company completed phase 1 of its diamond drilling programme last week.
The company said that recent drilling on the East-lode ore body mineralisation at Hammaslahti has intersected sulphide mineralisation in all holes which will allow for the delivery of a mineral resource estimate for the ore bodies.
"We also plan to finalise the assaying of cores from the drilling completed earlier this month where all drill holes on the so-called E-lode ore body intersected sulphide mineralisation," Executive Chair Robert Edwards said.
The company said that it was in discussions with two well-capitalised prospective investors from US and Nordic jurisdictions that would provide technical and financial support, though noted that there was currently no certainty that any binding agreement would be formed with these investors.
Bluejay said that due to "unseasonal and unexpected ice-sea conditions" it will not proceed with its planned drilling programme at Kangerluarsuk in Greenland.
The company said it will redirect resources from Kangerluarsuk to its value-for-money exploration campaigns at Hammaslahti project in Finland, and use the company's project portfolio and priorities for value creation.
Executive Chair Robert Edwards said: "We are fortunate enough to boast a portfolio of promising projects, and it is because of this nature of the company that we are able to pivot to other value creating avenues, when circumstances out of our control arise."
By Will Neill, Alliance News reporter
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