Savannah Resources raises 31.3 million euros for Barroso Lithium Project

Savannah Resources has completed a capital increase of 31.3 million euros (approximately 36 million USD), marking the largest such operation in the company’s history. The company reported that demand for the offering exceeded supply.

The operation involved the issuance of approximately 490 million new ordinary shares at 5.5 pence per share, representing a nearly 50% increase compared to the price of the previous capital raise. Portuguese investors now account for approximately 30% of the company’s shareholding structure. The funding round also attracted interest from Spanish, British, Swiss, and Nordic investor groups, which the company views as a reinforcement of European interest in the Barroso Lithium Project.

The raised funds are primarily intended to accelerate the development of the Barroso Lithium Project. Specific uses include the acquisition of long-lead equipment, preparatory works for construction, and basic engineering for the processing unit and infrastructure. Additionally, the company plans to hire approximately 40 employees, implement a new integrated management system (ERP), conduct geotechnical drilling, and secure land use rights.