European Lithium Ltd (ASX:EUR) is undertaking a placement to raise up to $2 million, mainly to European based sophisticated investors, at an issue price of $0.05 per share.
The funds raised will be used towards finalising the pre-feasibility study at the company’s Wolfsberg Lithium Project located in Austria.
European Lithium recently increased its JORC lithium resource by 50% at the Wolfsberg project.
As a result of the company’s successful deep drilling program, the resource now stands at 10.98 million tonnes grading 1% lithium oxide.
The current resource, which is located in Zone 1 has the potential to be further increased by drilling at depth and along strike.
Furthermore, results from initial drilling in Zone 2 show wide high grade intersections, which confirm the potential of this area to mirror the resources of Zone 1.
READ NEXT: European Lithium makes history with dual-listing
Earlier this week, European Lithium has become the first Australian company to be admitted to the Vienna Stock Exchange (VSE) located in Austria.
Admission to the VSE is an important milestone for the company and is designed to increase exposure to European investors.
The VSE listing allows Austrian institutions and private wealth clients that previously have been excluded from investing in the Australian listed company to now do so.