PERTH (miningweekly.com) – Potash developer Danakali will raise A$20.3-million in a share placement to institutional and sophisticated investors to fund early works at its sulphate of potash (SoP) project, in Eritrea.
The ASX- and LSE-listed company has completed the bookbuild for the placement of 47.2-million shares at a price of 43c each.
“We are delighted by the strong interest from new institutional and sophisticated investors as well as the support from existing shareholders,” said executive chairperson Seamus Cornelius.
“With the completion of this placement and subject to agreement on timing and priorities with our partners in Eritrea, the company can now fund key activities which allows us to move forward immediately with the early works at Colluli that will ensure efficient mine construction.”
Early works at Colluli will include site road development, geotechnical optimisation, reverse osmosis plant completion and installation, exploration camp relocation and camp installation.