Regency Mines (LON:RGM) has raised £350,000 through a placing of 159mln shares at 0.22p a share.
The company said the proceeds from the share issue will be used to finance planned expenditure in Sudan and also for the nickel joint venture in Papua New Guinea, with any money left over being used for general working capital purposes.
Following the placing, the company will have 1.48bn shares in issue.
"This placement follows the recent notice of conversion of interests in Australia to Ram Resources shares, and together with that conversion gives a new robustness and financial visibility to the company,” said chairman Andrew Bell.
“We welcome some new and supportive shareholders who share our confidence in the prospects of the company. We will continue to control costs and are seeking ways to benefit from the sharp recovery in the nickel market, whose prolonged weakness has until recently hindered our strategic development and that of our partners," he added.
Shares in Regency Mines were down 0.01p at 0.24p in late afternoon trading.