Sunrise Resources Plc (LON:SRES) has taken advantage of a share price spike this week to raise £325,000 via a conditional placing of 325mln new ordinary shares at 0.1p each.
The AIM-listed firm said the net proceeds of the placing - arranged by Beaufort Securities - will be applied to advance the company's CS Pozzolan-Perlite Project in Nevada and for general working capital purposes.
READ: Sunrise Resources unearths new pozzolan zone at CS in Nevada
Earlier this week, Sunrise Resources’ shares got a boost after it revealed it has discovered a new area of pozzolan to the north-east of the Main Zone at its CS Project in Nevada.
An additional 17 Mining Claims have now been staked to include the new discovery area which is now referred to as the "Northeast Zone". The zone has a mapped area approximately 650m long by 650m wide.
Patrick Cheetham, Sunrise Resources’ executive chairman said: "We have been able to take advantage of the very strong interest shown by investors in the Company's shares and the high trading liquidity following the recently announced discovery of a third zone of natural pozzolan at the CS Project and the positive concept study for development of the project announced last month.
“This fundraising will allow us to expand our initial drill programme and accelerate the commercial testing and discussions with potential customers."
In early afternoon trading, Sunrise Resources’ shares were 9.5%, or 0.01p higher at 0.12p.
Natural pozzolan is a “greener” alternative to the use of Portland cement in cement and concrete mixes.
Interest in pozzolan is growing, especially in the US where traditionally manufacturers have used fly ash from coal-fired power stations as a key ingredient in cement mixes.