Bezant Resources plc (LON:BZT) has raised £700,000 of new capital through the issue of new shares, with the cash injection earmarked for working capital.
The junior-mining group said the capital will provide support as it moves towards the start of production from higher-grade gravels at the Choco project in Colombia.
READ: Bezant looking to go deeper at Choco to access higher grade platinum and gold
It comes after the commissioning of Choco’s first plant over the summer, and following the recent completion of open pit and infrastructure work.
"Today's fundraising will further support the company as we now start production from the deeper level gravels containing higher grades of platinum and gold,” said Edward Nealon, Bezant chairman.
“We have been directing all available funds into the Choco project operation, and therefore we decided to conduct the placing to provide the group with additional working capital including for mine and project development as well as the second option exercise payment due in respect of the Choco project licences covering more than 2,500ha in aggregate.
WATCH: Bezant Resources sells first batch of platinum and gold from Choco
"I look forward to announcing the initial results of production from the deeper level gravel within the coming weeks."
Some 63.6mln new shares, priced at 1.1p, are being issues in the share placing which was arranged by Beaufort Securities.
In afternoon trading, Bezant shares were changing hands at 1.12p each, down 0.28p, or 19% on last night's closing price.
-- Adds share price --