Newfield Resources (ASX: NWF) has raised $4 million and completed the acquisition of Allotropes Diamonds Pty Ltd, which holds a 100% interest in a diamond exploration project in Sierra Leone.
Proceeds from the placement of 20 million shares priced at $0.20 each will be used to fund its diamond and gold projects.
The company acquired Allotropes through the issue of 29 million shares and 29 million options.
The Allotropes Exploration Licence covers a 101.52 square kilometre area along the diamondiferous Sewa River in Sierra Leone.
A total of 19 exploration bulk sample pits have been excavated by Allotropes and previous explorers. The recent Allotropes exploration bulk sample pits have returned an average grade of 47carats per hundred tonnes.
Newfield also holds the Newfield and Crest Yard gold fields in Western Australia’s Yilgarn Block.
The raising and acquisition of Allotropes provides a medium term opportunity for production and cash flow.
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