Equus Mining has raised US$330,000 through a share placement to fund initial drilling at the Mina Rica thermal coal project in Chile and for working capital.
The company is placing 33 million shares priced at US$0.01 each to professional and sophisticated investors.
It is also seeking shareholder approval for directors to subscribe for 2.5 million shares to raise a further US$25,000.
Mina Rica is located adjacent to existing infrastructure including a deepwater port, lowering capital needed to commence production.
Chile currently imports 80% of thermal coal needed for power generation and the government expects thermal coal demand to double in the next several years.
Edited from various sources by Sam Dodson