Beowulf raises funds

15th Mar 2010 15:12

Shares in Beowulf Mining were out of favour on Monday as the mineral exploration company said it had placed 40m shares at 2.5p each, well below the 3.62p mid-market closing price on the last trading day before the placing was announced.The company has raised £1m from the newly issued shares which represent 27.42% of the enlarged issued ordinary share capital of Beowulf. Funds from the placing will be used to finance the start of a drilling programme at the company's two major iron ore projects, Ruoutevare and Kallak, as well as to finance the assess potential opportunities for commercial expansion.'Further to the very positive conceptual studies received recently from the Raw Materials Group on our Ruoutevare and Kallak projects, it makes commercial sense to seek to increase the quantity and quality of these two assets,' said Clive Sinclair-Poulton, executive chairman of Beowulf.