(Alliance News) - W Resources PLC on Tuesday said it has raised GBP756,000 from a placing to Spanish investors aimed at advancing the Regua tungsten mine in north-east Portugal.
Shares in W Resources were up 8.0% at 0.23 pence in London in midday trading.
The 210.0 million share placing was priced at 0.36 pence per share, with funds to go both towards advancing Regua and providing tungsten, copper and gold miner W Resources with more working capital.
Turner Pope Investments Ltd and Alternative Resource Capital were joint brokers. Following admission of the new shares, W Resource will have 6.70 billion in issue.
Chair Michael Masterman said: "It's important to have the continued strong support of the Spanish investors at a time of volatility. Funds will be used to advance the Regua mine and provide a strong base of working capital for W Resources."
Separately, W Resources said the first blasting at the Regua mine was completed "safely and successfully" last week.
The firm also said that ramp-up at its Spanish La Parrilla mine is progressing and still delivering scheduled tungsten grades.
"As part of the ramp-up process, a series of improvement initiatives were successfully implemented during a planned shutdown in February 2020 and as a result the company has seen a material step change improvement in recoveries and overall production rates at the La Parrilla plant in March 2020," W Resources said.
In addition, director Byron Pirola is retiring from the board as a non-executive director at the end of March, though he will keep his core shareholding.
By Anna Farley; annafarley@alliancenews.com
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