Phoenix Copper Ltd - Base and precious metals explorer developing Empire open-pit copper and silver project in US state of Idaho - Raises £2.7 million via the placing of 14.1 million shares and a subscription of 9.0 million shares, both at an issue price of 11.5p each. In addition, the company is providing retail investors the chance to subscribe for up to 1.7 million offer shares at the issue price to raise a further £200,000. The retail offer closes January 31. On Friday morning, Phoenix announced its intention to raise approximately £2.4 million through the issue of new shares and the retail offer. The placing was run as an accelerated bookbuild by brokers Panmure Gordon (UK) Ltd and WH Ireland Ltd as joint bookrunners.

Proceeds from the fundraise will go towards the purchase of mining and processing equipment, as well as general working capital purposes to progress development at the Empire open pit mine. Should the equipment delivery fall through, all funds will be used for working capital, the company says. Last week, the company said that a pre-feasibility study for its proposed Empire project, in which it holds an 80% interest, was nearing completion. Phoenix expects to complete the study early within the second quarter of 2024 ‘barring unforeseen delays’. The company also says it remains in advanced discussions with bond investors for a proposed corporate copper bond to finance construction of the Empire mine.

Current stock price: 11.44 pence each, down 18% in London on Friday afternoon.

12-month change: down 73%

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