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Diamcor closes $2m private placement for SA project

28th June 2013

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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South Africa-focused Diamcor Mining has closed an oversubscribed nonbrokered private placement, issuing 1.58-million units at a price of $1.25 each for gross proceeds of $1.98-million.

The company had launched the financing to support operations at its flagship Krone-Endora at Venetia project, in Limpopo province, after rainfall limited production during the first quarter.

Each unit consisted of a common share and half a common share purchase warrant with a strike price of $1.75 per share until the close of business on June 17, 2016.

On closing the offering, the company had 35.14-million shares issued and outstanding.

Proceeds from the offering would be used to support advancing the company’s flagship project, the planned ramping up of operations currently under way, the continued processing of material aimed at recovering additional rough diamonds for planned sales in the short term, and for general and corporate purposes.

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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