Diamcor Mining has received subscriptions under the amended loan financing for aggregate gross proceeds of about C$1,2 million.
The previously announced initial $500,000 term loan has also been amended and is included in the proceeds, it said.
Proceeds from the financing will be used for general corporate purposes, the deployment of additional operational equipment to support increased processing volumes, the continued advancement of the work programmes currently underway at its Krone-Endora at Venetia project, in South Africa.
The funds will also provide Diamcor with additional working capital to offset the time frames associated with the tendering and sale of rough diamonds in Antwerp.
Term loans under the financing will be unsecured, carry an annual interest rate of 7% payable at maturity and the company will issue 1,425,600 common shares in its authorized share capital, along with 712,800 share purchase warrants to the lenders.