Europa Metals Ltd (AIM:EUZ, JSE:EUZ, OTC:EOPAF) said it raised a gross £1.5mln through a placing and subscription offer to help fund its refocused corporate and operational strategy as it seeks out new deals and acquisitions.
The AIM-quoted company is seeking a partial sale/earn-in/joint venture or similar third-party agreement for the Toral lead/zinc/silver project in Spain. It is also looking at potential acquisitions with near-term production/revenue or low-cost project acquisitions in high demand commodities such as copper, lithium, gold, iron or nickel.
To further progress and de-risk the Toral project, Europa plans to carry out further geotechnical drilling to assess key areas for future plant location and potential tailings storage facilities.
The initial tranche of new shares will be issued under the company's pre-existing share capital authorities. The second tranche is subject to shareholder approval at the company's annual general meeting at the end of November.
The fundraising brought in new investors to Europa, a number of which have experience within the natural resources sector, said chief executive Laurence Read.
“With the support of the company's shareholders, our refocused strategy going forwards is to seek to generate value via a potential transaction(s) to augment our asset portfolio whilst continuing to further de-risk and progress our Toral project,” he said.