Alba Minerals (LON:ALBA) has today revealed plans to raise £500,000 having struck a deal last week to double its stake in the Horse Hill project.
The company will issue 200mln new share at a price of 0.25p each.
Cash raised will pay acquisition costs and provide additional working capital to support its commitments to the Horse Hill venture.
Alba said it will also support the evaluation of new opportunities.
Last week the company agreed a £300,000 deal to acquire Regency Mines’ 5% stake in the Horse Hill Developments Ltd (HHDL) vehicle.
It gives Alba a total interest in HHDL of 10%, which in turn gives it 6.5% of the underlying Horse Hill asset.
HHDL has 65% of the Horse Hill oil discover near Gatwick airport.