Rockfire Resources PLC (LON:ROCK) shares rose more than 17% after the company successfully raised £405,000 through a share placing to fund its accelerated exploration plans during the remainder of 2018.
The gold, copper and silver explorer said it had placed 30mln new ordinary shares at a price of 1.35p each. It said 10mln of the new shares would be available on a “one warrant for three shares subscribed basis”, exercisable at 2.30p each up to and including October 16, 2019.
READ: Rockfire Resources says third gold target identified at Marengo exploration project in Queensland
The AIM-listed group – formerly known as Papua Mining – said it secured the placing at zero discount to the market price. It now plans to “aggressively pursue” plans to drill multiple targets at its Marengo project in Queensland, Australia, as well as targets at its Double Event prospect.
Rockfire said all of the proceeds raised would be allocated to accelerate drilling campaigns at the One Mile Mountain target at Marengo and the Double Event Prospect which forms part of the Lighthouse tenement. Some proceeds will also be used towards an initial geophysical IP survey at the Copperhead Project, it added.
Shares in Rockfire were 17.8% up at 1.59p in mid-afternoon trade.