Africa-focused explorer Montero Mining & Exploration Ltd (CVE:MON) is raising US$1.12mln from investors in a non-brokered private placement.
Montero is issuing up to 4mln shares at a price of US$0.28 each to raise the money, which it has said will be used for general corporate and working capital purposes.
For every two shares bought, investors will also be granted a share purchase warrant which can be exercised for US$0.40 within 18 months from the closing date of the offering.
The warrants, should they all be exercised, would raise up to another US$1.6mln for Montero.
The company is currently focused on developing the Wigu Hill rare earth project in Tanzania, as well as the Soris lithium project in Namibia, which it agreed to acquire an 80% interest in towards the end of last year.
Montero also holds a 74% interest in a rock phosphate property in the Saldanha Bay area of South Africa which is exposed at surface and is just 30km from the Saldanha Bay deep water port.