Ironveld raises £1.8m through placing

26th Oct 2016 13:39

(ShareCast News) - Ironveld announced on Wednesday that it has raised £1.8m before expenses through a firm and conditional placing of 40,000,003 new ordinary shares of 1p each at a price of 4.5p each.The AIM-traded company owns a high purity iron, vanadium and titanium project on the northern limb of the Bushveld Complex in Limpopo Province, South Africa.It said the placing comprises a firm placing of £1.3m and a conditional placing of £500,000.The proceeds of the placing will be used for working capital including advancing the development phase of the 15MW DC smelter, with the board saying the project's funding and development was progressing strongly."Ironveld has had a busy period of activity including the execution of the vitally important transaction with the IDC which is a major stamp of approval from the South African government of our project," said CEO Peter Cox."I am delighted with the continued support from our shareholders and the proceeds from this fundraise will enable us to commence the development phase of the project whilst we seek to conclude the remaining debt agreements."