Landore Resources Ltd on Wednesday said Alex Shaw will become the company’s next chief executive following a major investment by the company he represents.

The Ontario, Canada-based exploration and development company is focused on precious, base and battery metals mining in North America.

Landore shares surged 45% to 4.14 pence each in London on Wednesday afternoon.

This follows the announcement that the company conditionally raised £3.7 million via a two-tranche subscription of 153.5 million shares at a price of 2.40 pence each.

New investor Luso Global Mining BV contributed £1 million towards the fundraise. A further £1.3 million will be subscribed for by two individual investors.

LGM is a subsidiary of Portuguese construction firm Mota-Engil SGPS SA.

Interim Chief Executive Officer Glenn Featherby said: ‘This fundraising is potentially transformational for the company and serves to demonstrate the inherent value and potential of our existing high-quality asset portfolio. In particular, it will provide a runway to enable us to swiftly commence our planned drill programme on our flagship BAM gold project at Junior Lake to further advance this key asset.’

Following the resignation of Claude Lemasson as CEO in January, Featherby has served as his temporary replacement.

Landore on Wednesday said LGM CEO Alexander Shaw will relieve Featherby on June 17 in a non-board capacity until the completion of due diligence required by the AIM rules. From then on, Shaw also will serve as LGM’s representative on the board. Featherby will move to non-executive director.

Shaw brings with him fifteen years of experience in the mining industry, Landore noted, having spent a large proportion of his career exploring and developing diamond and metal deposits in Africa as well as Central and South America.

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