Beowulf raises £400,000 to extend drilling

6th Oct 2010 12:10

Minerals explorer Beowulf Mining is raising £400,000 to finance further drilling at the Kallak iron ore project in Sweden following the recent positive news. The initial indications of a drilling programme at Kallak North suggest more than 150m tonnes of iron ore with an estimated average grade of 35% Fe. The original drilling plan has been extended. The firm results from the initial drilling could be available by the end of October. A placing at 5.75p a share is raising £400,000 before expenses. The cash will finance drilling campaigns at the Kallak and Ruoutevare iron ore projects and the assessment of other opportunities. There was cash of £752,000 at the end of June 2010 and since then the £250,000 convertible loan note has been converted into shares. Beowulf owns 100% of Kallak and Ruoutevare and it wants to do as much work as possible on the projects before considering any dilution.