ALO.L Share News (ALO)

Alecto Minerals, an AIM-listed explorer focused on Africa, placed one million shares at 1.5p each to raise funds for the development it its flagship Kossanto Gold Project in Western Mali. The placing raised £1.5m before expenses, part of which will be used for general working capital purposes.At the time of the issue, the group was nearing completion of drilling work to increase the maiden Joint Ore Reserves Committee (JORC) compliant resource of 107,000 ounces of gold. Chief Executive Mark Jones said he was "excited" about the progress made on the ground, which gave him the "confidence to seek additional funds", which were placed at a 50% premium to the funds raised two months ago. "We take the view that the best possible way to reward shareholders is to commit to a solid exploration plan in West Africa and this fresh investment now allows us the freedom to do this over the next 12 months," he said. "Over the coming months we have a lot to look forward to, at both Kossanto, where we expect regular assays results from Gourbassi East throughout the first quarter of 2014, as well as further updates from the expansive Massakama Prospect and across the rest of our prospective African portfolio." NR