Alecto Minerals, the African-focused gold exploration and development company, has raised £800,000, gross, through the issue of further convertible loan notes on similar terms as those announced on 17 January.
Alecto said the Mowana copper mine in north-east Botswana was currently ramping up to full production capacity and, as announced on 12 May, the company was on track to deliver production of 12,000 tonnes of copper concentrate in Q3 2017.
Alecto said it was simultaneously progressing the completion of its acquisition of Cradle Arc Investments (Proprietary) Limited, which, via its wholly owned subsidiary, owned the Mowana copper mine, which would constitute a reverse takeover under AIM Rules.
The company said it anticipated publishing an admission document and seek re-admission to trading on AIM by the end of June.
It said the funds raised from the issue of the notes would be used to provide a loan of up to US$1m to Cradle to meet the working capital requirements of the Mowana copper mne during the ramp-up phase.
It said the additional notes had been subscribed for by certain clients of Beaufort Securities Limited, the company's broker.