Platinum group metals (PGMs) and chrome miner Eastern Platinum (Eastplats) has raised C$7.04-million through a rights offer.
The company in March announced that it would undertake the rights offer to help fund its growth projects, with the Zandfontein underground project being a priority.
The TSX- and JSE-listed company owns a number of PGM and chrome assets in South Africa, including the Crocodile River mine (CRM).
In its March offer circular, the company outlined plans to invest in the first capital projects to restart underground operations at the Zandfontein asset at CRM.
The Zandfontein underground operation has been on care and maintenance since 2013.
Eastplats expects to make use of the existing vertical shaft No 3 and the No 4 declines to mine mining areas from 4 Level to 12 Level.
Production at the project is expected to steadily ramp up to peak output of about 1.02-million tonnes a year. Mining is expected to start at a rate of 20 000 t a month of run-of-mine (RoM), and to eventually ramp up to 80 000 t a month RoM.
The project has an estimated life-of-mine of 22 years.