14th Aug 2018 12:41
LONDON (Alliance News) - Premier African Minerals Ltd said Tuesday it will raise GBP750,000 via placing of 416.7 million shares at 0.18 pence each.
Shares in the company were trading down 13% at 0.19p each.
The company said it will use the funds raised in order to gain additional working capital and support costs associated with the restructuring of the RHA Tungsten mine in Zimbabwe.
On Monday, the company had said its proposal to up its stake in RHA Tungsten Private Ltd, owner of the mine, to 90% had been "favourably received" by the Zimbabwean regulators.
The company said it is now looking to de-risk the development of RHA.
"As such, Premier will begin mobilising the driller with the aim to commence a drilling programme of up to 2,750 meters as soon as possible with the objective of expanding the resource base as well as increasing the confidence levels of both the open pit and underground resources," the company explained.
Admission to trading of the new shares is expected on August 17, following which, the company's total issued share capital will be 7.23 billion shares.
Related Shares:
Premier African Minerals