Arkle Resources PLC (LON: ARK) has raised £250,000 via the issue of 33.3mln shares at 0.75p each.
The proceeds will be used for further exploration activities at the Stonepark zinc project in County Limerick, Ireland, and to fund other exploration activities, including on the company's 100% owned gold exploration projects.
"The high grade of the Stonepark deposit, its relatively shallow depth and its strategic location next door to Glencore's Pallas Green deposit have generated significant interest leading to the transaction, which significantly strengthens Arkle's balance sheet going forward,” Arkle chief executive Patrick Cullen said in a statement.
"We believe this investment and confirmation that our joint venture partner has received further funding from Glencore is a strong endorsement of the Stonepark project. Furthermore, there is exciting exploration potential in the south of the project along the 'Pallas Corridor'. We look forward to drilling recommencing as planned in August, subject to (coronavirus) COVID-19 restrictions."
The Stonepark zinc project is a joint venture with Group Eleven Resources. Arkle holds a 23.44% stake in the project, free from encumbrances. The project contains a maiden inferred mineral resource totalling 5.1mln tonnes at 11.3% zinc and lead combined.