Perth diamond explorer Paramount Mining Corporation has issued a prospectus to raise $1.2 million to fund exploration programs in Australia and Africa.
The capital raising includes the issue of 20 million new shares at 6 cents a share and 4.5 million options.
Cunningham Securities has underwritten $800,000 of the new issue.
Paramount's announcement is copied below:
PARAMOUNT TO RAISE $1.2M TO BOOST DIAMOND EXPLORATION IN AUSTRALIA AND AFRICA
Diamond exploration programs in Australia and Africa will be the focus of funds from a $A1.2 million capital raising announced by ASX-listed explorer, Paramount Mining Corporation (ASX code: "PCP").
Paramount is offering 20 million new shares at six cents a share with $800,000 of the package - equivalent to 13.3 million shares - underwritten by Perth-based Cunningham Securities Pty Limited.
The capital raising includes the issue of 4.5 million options. If fully subscribed, the offering will take the number of ordinary Paramount shares on issue to 64 million.
The prospectus proceeds are in addition to A$250,000 raised for exploration capital in a placement by Cunningham this week, which includes investors in the United Kingdom.
"We have made considerable progress in securing diamond projects here and overseas that exhibit significant potential," Paramount's Chief Executive Officer, Ms Maureen Muggeridge, said today.
"Diamond and gold recovery is already being achieved in at least one sampling area undergoing assessment so the proceeds from the capital raising announced today will be assigned directly to broadening this exploration impetus," Ms Muggeridge said.
Paramount has diamond exploration interests in the Ochinso and nearby Osenase projects in southern Ghana; has existing or under acquisition projects in South Africa; and is completing advanced sampling and survey work at its Ullawarra and Ellendale projects in northern Western Australia.
