The company’s shares were last trading 18.75% higher intra-day, at $0.19.
The equity raising reflects the value attributed by Summit to Kore’s progress on the Kola Potash Project in the Republic of Congo.
The funds raised will be utilised to further progress the definite feasibility study (DFS) on the Kola project and to carry out additional drilling.
Presently, the total resource for the Kola Sylvinite Deposit is 1048 million tonnes grading 32.8% potassium chloride (20.7% potassium oxide).
Kore recently completed a drilling program at Kola, intersecting high grade, thick sections of sylvinite.
These intersections are expected to positively impact the resource update, to be completed early in the June quarter.
Kore had raised $45 million in November 2016 from two new major investors - global agricultural minerals group Sociedad Quimica y Minera (NYSE:SQM) and SGRF, the Sovereign Wealth Fund of Oman.
Interestingly, in recognition of the progress Kore has made since November 2016, the company could secure improved terms from Summit compared to those offered to SQM and SGRF.
Kore will now use the new funds raised along with the balance of the earlier funding to further progress the DFS and carry out additional exploration drilling at Dougou Extension.