Toronto based Montero Mining and Exploration (CVE: MON) said Tuesday it has raised its non-brokered private placement financing offering to $5.8 million.
The company, which is a junior mineral explorer, raised its offering to 9.66 million units for a profit of $5.8 million.
The initial offering, which Montero announced earlier this month, comprised of selling 8.3 million units for 60 cents each, to raise $5 million.
Each unit consists of one common share and one-half of one common share purchase warrant, with each whole warrant giving the holder the right to buy an extra share for 80 cents for a period of two years from closing.
Profits will be used to fund continued exploration at the Wigu Hill Rare Earth Project in Tanzania and for general working capital purposes.
Thus far, trenching and drilling has been completed at the Twiga and Tembo targets at Wigu Hill and has yielded excellent results, Montero said.
Early reconnaissance sampling at the defined Tumbili target confirms consistent mineralization of bastnaesite bearing carbonatite and indicates the potential for a sizeable rare earth element deposit.
Montero Mining and Exploration is a mineral exploration and development company focused on the development at its flagship Wigu Hill Rare Earth Element Project in Tanzania.
The Wigu Hill project is a high grade undeveloped light rare earth element deposit where the company's present focus is on reporting an initial NI 43-101 resource on the first two of ten drill target areas tested to date.