European Lithium (ASX:EUR, FRA:PF8) has received commitments to raise A$1.1 million from sophisticated investors at $0.045 per share.
The placement includes one option for every two shares exercisable at $0.05 on or before 31 March 2020.
There was a lot of interest in the raising from European investors.
The funding will be used towards advancing the company’s Wolfsberg Lithium Project located in Austria.
Wolfsberg's resource is expected to swell from a pending update, and currently hosts a JORC resource estimate of 6.3 million tonnes at 1.17% lithium oxide.
The company also recently signed a binding term sheet with its first off-take partner.
Tony Sage, non-executive chairman, commented on the raising: "This is a great result given the current market conditions and it shows great confidence in the Wolfsberg Lithium Project.
"The funds will help the Company finalise the PFS."