Savannah asks investors for €5.5 million to buy parcels of land in Boticas

The UK mining company Savannah, which is embarking on lithium ore exploration in the north of Portugal, has sold 121 million shares from its four largest shareholders.

The €5.5 million will be used to buy and guarantee exploration rights for tracts of land in Boticas in the district of Vila Real where the mine will be located, and create an operating capital fund. The money raised from the share selloff represented 5% of the total new shares issued at a value of 40 cents each share.

“Together with existing cashflow resources available, this modest but important amount puts Savannah in a sold financial position (with a total cashflow of €12.7 million).

As a result we can continue to swiftly advance with the development of the project”, said Savannah CEO, Emanuel Proença.

The cash will be used to complete a viability study of the land, the environmental licensing, hire more people and secure the tracts of land that are still to be purchased.

Savannah has identified 472 tracts of land in Boticas to expropriate, valued at around €3 million.

Image: CM de Boticas