80 Mile (AIM:80M), the AIM, Frankfurt and OTC-listed explorer with projects in Greenland, Finland and Italy, has raised approximately £1.9 million before expenses through a placing of 283.58 million new shares.
The placing price of 0.67p represents a 10% discount to the 0.75p closing price on 24 July, the last practicable date before the announcement.
The new shares go to existing shareholders, institutions and sophisticated investors, and represent approximately 5% of the enlarged share capital, taking total shares in issue to 5.59 billion.
Proceeds will fund general administrative costs, the restart of the Ferrandina biofuels plant in Italy, preparation for the sale of the Finland projects, and an upcoming sampling programme at the Dundas titanium project in Greenland.
The raise lands as 80 Mile advances its two flagship Greenland programmes. Preparations continue for a fully funded two-well drilling campaign at the Jameson gas and liquids basin, a joint venture with Greenland Energy Company (NASDAQ: GLND), with a rig now containerised for shipment ahead of drilling in the second half of the year.
At Disko-Nuussuaq, drilling is already underway under a US$30 million joint venture with USFM Corporation targeting nickel-copper-PGE deposits, with 80 Mile retaining operational leadership.
Roderick McIllree, Executive Director, said the company has US$100 million of committed and funded expenditure across its portfolio alongside two US-listed joint venture partners.
"We are now in a very strong position," he said, adding the company remains focused on "disciplined execution" as the programmes advance.
Management recently inspected the Disko drill site and held talks with regulators in Nuuk on Jameson permitting, describing support for the project as encouraging.
