Sula Iron and Gold is an AIM Listed gold and iron exporter concentrated on Sierra Leone.
Sula Iron and Gold entered into an equity share agreement with RiverFort for a total loan of £900,000 through the issue of 616,438,356 ordinary shares. The Sula board concluded the subscription was best for the company and its shareholders as net proceeds are expected to fund the groups day-to-day operations.
The sharing agreement provides the opportunity for the company to benefit from positive future share price performance and will come into effect upon admission of the subscription shares to trading on AIM.
On the announcement of the deal Roger Murphy, Sula’s Chief Executive said:
“We welcome the support of our new investors and the confidence that they have in us to deliver significant shareholder returns. The Subscription is intended to cover the Group’s activities well into 2018, enabling us to continue our planned development of the project. I strongly believe that this deal secures good capital at a tough time for junior explorers. Sula is facing a busy period with the large final batch of results from our recently completed 5,184m drill programme on Ferensola due in mid-September 2017. At the same time the results from our regional surface sample programme that was designed to assess some of the other targets for gold mineralisation will become available. Our next drilling campaign will be driven by these results”
Group day-to-day running