Copper explorer SolGold plc (LON:SOLG) has received the first chunk of cash from its recent substantial funding with Maxit Capital.
Solgold will use the money to speed up exploration of its Cascabel project in Ecuador where drilling at one target, Alpala, has already indicated very large amounts of copper.
Maxit has bought US$15.7m worth of shares though SolGold will issue US$21.5mln (£16.1mln) in total as management and employees have converted money they were owed and DGR Global has swapped a US$4.4mln loan into equity.
Maxit has an option to inject a further US$15mln.
The shares were issued at 6p.
Nick Mather, SolGold’s executive director, said: "We are very pleased to have Maxit and a number of its clients as shareholders, and now have the funds available to enable aggressive drill testing of the other seven priority targets in the Cascabel cluster, and the definition of a maiden resource at Alpala."