Karelian Diamond Resources raises £0.32m to advance exploration

(Sharecast News) - Karelian Diamond Resources announced on Thursday that it has raised £0.32m through a placing and subscription at 0.75p per share, to support its ongoing exploration and development activities. The AIM-traded firm said the funds would be used to advance its nickel-copper-platinum group elements exploration programme in Northern Ireland, where it was seeking a strategic partner for a two-year programme to assess potential economic deposits.

It said the proceeds would also support its diamond exploration in Finland, where recent work identified high-priority targets in the search for the source of a previously-discovered green diamond.

Additionally, the company said it was planning to progress the development of the Lahtojoki diamond deposit, with the finalisation of the mine boundary and landowner compensation expected in the second quarter of 2025.

A portion of the funds would also be allocated to general working capital.

"We welcome the completion of this fundraising in a difficult market which comes at an important time for the company as we progress work on our licence areas in both Finland and Northern Ireland," said chairman Brendan McMorrow.

"With these funds, together with the potential for follow on finance through the exercising of related warrants, the year ahead promises to be an exciting one for the company."

At 1108 GMT, shares in Karelian Diamond Resources were down 39.33% at 0.73p.

Reporting by Josh White for Sharecast.com.