Resolute Mining raises $25m for Syama

Gold hopeful Resolute Mining has raised $25 million through a share placement, with funds to be used for the commissioning of the Syama gold mine in Mali.

The company said it placed 35.72 million shares at a discounted price of 70 cents each to clients of lead manager Patersons Securities and North American clients of Haywood Securities.

Shares in Resolute, which were previously in a trading halt, were unchanged at 77.5 cents.

Resolute said it continues to make "good progress" with the commissioning of Syama, of which the company holds an 80 per cent interest.

The mine is forecast to produce around 250,000 ounces of gold each year.

Resolute said funds raised will be used for the commissioning ramp up period between May and June.

"Surplus funds not fully utilised during the commissioning process will be applied to advance development of the free milling circuit at Syama, debt reduction or other working capital requirements," Resolute said.