South Africa-focused miner Diamondcorp (LON:DCP) kicked off an open offer to raise up to an additional £2mln.
The offer follows a placing to raise just short of £3.2mln earlier this month and will priced at the same price of 10p per share.
Diamondcorp went ahead with the placing after deciding to end a royalty financing deal with South African group Acrux.
Bulk sampling is currently underway at the Lace mine ahead of a ramp-up to full production.
The money raised from the offer will fund the purchase of two dump trucks and the deposit on a high-volume optical and x-ray waste sorter to reduce the volume of internal waste rock from kimberlite ore prior to processing.
This equipment has the potential to significantly reduce plant water and electricity consumption and increase processing rates, Diamondcorp said.