Great Western Mining Corp PLC on Wednesday said it raised £500,000 via a placing of new shares, intending to use the net proceeds towards its joint venture in Nevada.

The mineral exploration and development company with gold, silver and copper assets in the US said it will issue 909.1 million new shares at a price of 0.055 pence each.

Admission on the London Stock Exchange and Euronext Growth is expected when markets open on Wednesday next week.

Shares in Great Western Mining were down 32% to 0.056 pence each in London on Wednesday late morning.

Great Western Mining said the net proceeds will be used towards completion, commissioning and start-up working capital at its Nevada joint-venture Western Milling LLC, which is constructing a mill for production of gold and silver concentrates.

This is alongside funds going towards continuing the company’s active ongoing exploration programme for gold and silver and at the M2 copper prospect, Great Western Mining explained.

Chair Brian Hall participated in the fundraise, buying 47.3 million shares and taking his holding to 219.8 million shares or a 4.0% stake.

This was alongside Non-Executive Director Andrew Hay more than doubling his stake with a further 18.2 million shares to 31.9 million shares in total, or a 0.6% stake and Finance Director & Company Secretary Max Williams buying 12.7 million shares, taking his holding to 75.2 million shares or a 1.4% stake.

Non-Executive Gemma Cryan bought her first 9.1 million shares in the company, or a 0.2% stake, while Non-Executive Director Alastair Ford also bought his first 3.6 million shares, or a 0.1% stake.

‘At an exciting time in the company’s development, our priority is to complete, commission and test the process mill, leading to production and sale of gold and silver concentrates as soon as possible. We have an active exploration programme and are currently drilling at Mineral Jackpot close to a highly promising shallow silver intercept achieved in 2022,’ said Chair Hall.

‘This placing will enable us to achieve our objectives. We also expect to continue work on the M2 prospect where we have already established a JORC-compliant resource of copper, partly indicated and partly inferred. We will keep shareholders informed on progress.’

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