JOHANNESBURG (miningweekly.com) – Aim-listed exploration and development company Sula Iron & Gold has secured subscriptions for an aggregate of £900 000 through the issue of about 616-million new ordinary shares of the company at a price of 0.146p per ordinary share.
The net proceeds of the subscription will fund the company's exploration activities at its Ferensola gold project, in Sierra Leone, into 2018.
As part of the financing and to increase funds available for exploration, the board has agreed to a 50% reduction in its salaries until December 2017.
"The subscription is intended to cover the group's activities well into 2018, enabling us to continue our planned development of the project,” said CEO Roger Murphy in a statement on Monday.
He added that Sula was facing a busy period, with the large final batch of results from its recently completed 5.184-million metre drill programme on Ferensola due in mid-September 2017.