Savannah Resources gets further investment from Al Marjan

Savannah Resources said private investment bank Al Marjan bought 98.3m shares in the company at just under 1.8p each in a placing, making it the largest shareholder.

The AIM-listed, west Africa-focused exploration group raised gross proceeds of £1.75m, which will be used to fund the development of the company’s copper projects in Oman and for working capital.

Chief executive officer David Archer said: “We are delighted to see very solid support for Savannah's investment case with this significant follow on investment by Al Marjan Limited, who joined the share register in late 2015 and is strongly supportive of the company's growth strategy.”

He said the placing, which gives Al Marjan a 30% stake, puts Savannah in “an excellent” position to continue executing its business plan, targeting early copper production in Oman in late 2017 and progressing its mineral sands initiative in Mozambique.

“Furthermore, it enhances Savannah's already favourable profile within the Oman mining industry."

At 1532 GMT, Savannah shares were down 1% to 2.08p.