LONDON (Alliance News) - W Resources PLC Tuesday said it has raised approximately GBP1.23 million before expenses in a share placing, funds it said it will use to pay for a trailing payment of the La Parrilla mine in Spain, and for exploration funding.
The tungsten, copper and gold mining company said it placed the shares with new and existing investors, at a placing price of 0.80 pence per share.
W Resources shares were trading 5.1% lower at 0.816 pence Tuesday afternoon.
"The funds raised, combined with existing cash and tungsten sales, enables W to complete the EUR1.3 million payment on the acquisition of the world class La Parrilla mine in Q3 2014 and importantly enables us to drive our successful exploration and development activities in Spain and Portugal forward," said Chairman Michael Masterman in a statement.
W Resources' projects now include La Parrilla, a tungsten project in Spain and Régua and Tarouca Tungsten projects and the Portalegre copper-gold project in Portugal.
"At the La Parrilla tailings project, the ramp up to full production is on track for October and output from La Parrilla is expected to generate positive cashflows in the final quarter of 2014, growing strongly into 2015,"said Masterman.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
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