Adriatic Metals raises $28m to complete Vares silver project study

UK-based Adriatic Metals has entered into binding agreements for $28 million financing to complete the feasibility study of its Vares Silver Project, in Bosnia & Herzegovina.

The financing is comprised of a $20 million private placement of 8.5% unsecured convertible debentures to Queen's Road Capital Investment, and a subscription by the European Bank for Reconstruction and Development for £6.2 million (about $8 million) in ordinary shares of the company at a price of £1.175 per share. 

The debentures are therefore expected to be refinanced as part of the development funding for the construction of the Vareš Silver Project, Proceeds of the EBRD subscription will be used to finance pre-development work of the project.