JOHANNESBURG (miningweekly.com) - JSE-listed Metorex announced on Friday that its capital raising had become unconditional, adding that a total amount of R586,8-million had been received by the company from the subscribers to its "claw back offer".

An undertaking by Beankin Investments to subscribe for additional Metorex shares of R15-million, through the claw-back offer, had also become unconditional.

Some 250 000 000 new Metorex ordinary shares of 10 c each was offered to shareholders at a price of R3,60 a share.

The claw-back subscribers were said to include the State-owned Industrial Development Corporation, Polaris Capital Management, Minerales Y Productos Derivados, Coronation Asset Management, the Standard Bank of South Africa and Old Mutual.

Metorex CEO Terence Goodlace said amendments to the Ruashi lending agreements had also become unconditional.

Goodlace stated previously its new focus would be on sustainable growth and expansion, much of which would centre on the development of the company's Central African copper deposits at Musonoi/Dilala East, Kinsenda and Lubembe in the Democratic Republic of Congo.

The capital raising would secure funding for more exploration drilling at the three growth sites; the servicing of holding costs at Kinsenda; the disposal of Consolidated Murchison or the placing of this antimony mine on care-and-maintenance; and the creation of sufficient financial reserves to place the company on a sustainable growth path.

Ruashi was expected to produce 36 000 t/y of copper and up to 5 000 t/y of cobalt at a cost of less than $2 800/t , net of cobalt credits and excluding financing charges.

Ruashi's solvent extraction/electrowinning plant was virtually completed after more than R752-million had been spent on it in the 2009 financial year.

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