Greenland raises $7m

Greenland Minerals has secured $7 million via a share placement, with the funds raised to advance the development of its Kvanefjeld rare earths project.

The placement was undertaken at an issue price of 12 cents per share, representing a 20 per cent discount to its 20-day volume-weighted average price until July 26.

Ashanti Capital was lead manager to the placement.

The capital acquired will progress technical development of Kvanefjeld and advance its mining licence application.

It recently completed an optimisation study which successfully reduced the capital cost the project in southern Greenland by almost 40 per cent to $US505 million.

The Kvanefjeld project has a JORC-compliant resource of around 1 billion tonnes and an ore reserve estimate of 108 million tonnes.