10th Oct 2013 07:54
LONDON (Alliance News) - Sula Iron & Gold PLC Thursday said it has raised GBP800,000 in a placing, to prove up iron and gold mineralisation at its Ferensola Project.
The multi-commodity exploration company with assets in Sierra Leone said that funds received from the placing of 40 million shares for 2 pence each will be used to advance the company's 153 kilometre wholly owned Ferensola Project as well as for general working capital purposes.
The company recently announced that following infill drilling tests at the site it confirmed a significant iron prospect including a 73.18 metre space at 43.66% iron and that it plans to delineate a maiden resource in 2014.
The placing cash will also go towards tests of the direct shipping ore potential of the site.
Sula Iron & Gold shares were down 24.4% to 2.08 pence, making it the biggest faller on the AIM index in early trading.
By Tom McIvor; [email protected]; @TomMcIvor1
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