Ormonde Mining said it has conditionally placed 30.1 million new shares in the company at 10 pence a share to raise £3.01 million before expenses.
The new shares, equating to 24.7 per cent of the existing issued share capital, have been placed with institutional investors in London and Dublin.
The money raised is earmarked for accelerating Ormonde's strategy of building a gold mining business in Spain, where it is currently evaluating five gold projects.
Remaining funds will be used for general working capital purposes, the company added.
Regarding its planned listing on AIM to facilitate its intended growth from an exploration and development company into a gold producer, it said admission is expected to be on April 19th, 2005, and further announcements will be made in due course.
Ormonde will maintain its Irish quotation, which is on the Exploration Securities Market of the Irish Stock Exchange but will be transferred to its replacement market, the Irish Enterprise Exchange.