JOHANNESBURG (miningweekly.com) – Aim-listed Stellar Diamonds has raised about £1.03-million for its Baoulé trial mining project, in Guinea.
The company had issued 88.36-million new shares at 1.16p each to directors, existing shareholders and new institutional shareholders to raise the funds.
“With revenues from our first diamond sale of a 5 900 ct parcel expected in the near term, this placement strengthens the company’s balance sheet at a time when capital markets in the junior sector are notoriously weak.
“It also underscores the support of our existing shareholders, most notably UBS Deutschland, and our directors, many of who are participating. We are also pleased to welcome new shareholders to the company at this exciting juncture in our growth and development,” commented Stellar CEO Karl Smithson.
Stellar noted that the Baoulé project was expected to continue yielding about 2 000 ct/m of diamonds, with regular diamond exports and sales to be held throughout this year.