The private placing of 185.5mln shares was completed at a price of 0.5p per share, a premium to the latest closing share price, raising £927,556.
Investing in this round were two local family offices of successful businesses in the Extremadura region, with a third Spanish investor indicating interest to invest €2mln on the same terms but still awaiting funds approval.
The new cash is being used for additional working capital for the company during the remaining commissioning process for La Parrilla.
“It is important to balance the final phase of funding on La Parrilla as we head into the most exciting stage of this project, with first ore to the new concentrator plant starting later this month,” said chairman Michael Masterman.
“Ensuring that commissioning is completed to the highest standards has been the priority and we are pleased to receive support from the Spanish investment community, who invested at a premium to current share price, which takes the company to this next important phase.”
While an agreed €5.3mln grant from the regional government is awaited and until commercial production begins, further funds will be needed over the coming two months prior to maintain the pace of development of the mine.
W Resources has received interest from potential debt and Spanish equity providers and Masterman said he, and possibly other directors, intend to buy shares on the above terms after the company’s interim results.