Newfield Resources said it successfully raised $2.5 million following a placement of 8.3 million shares at $0.30.
The funds would be used to progress the company’s diamond project in Sierra Leone, which covers three granted tenements over 540 square kilometres.
It said in a statement to shareholders that the raising was made to institutional and sophisticated investors, including existing shareholders and a range of new investors.
Proactive Investors reports that apart from the project potential, there was a demonstrated historical production of gem quality diamonds from alluvial gravels.
Historical and recent bulk sampling pits return average grade of 47 cpht and 43cpht respectively.
Newfield has purchased an earth moving fleet and Dense Media Separation plant funded by equity, with the plant commissioning and first diamond production milestone scheduled for December quarter 2014.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
