LONDON (ShareCast) - (Sharecast News) - Natural resources company Jangada Mines has sold two million of its common shares in ValOre Metals at a price of 30 Canadian cents per share, it announced on Wednesday, providing it with gross proceeds of CAD 0.6m (£0.34m).

The AIM-traded firm said the proceeds, along with the funds raised in the placing announced on 19 February, would be used for ongoing exploration and working capital purposes at its wholly-owned Pitombeiras Vanadium Project in Brazil's Ceará State.

Jangada said it now held a total of 14.5 million ValOre common shares, representing 12.1% of ValOre's share capital.

"The recent preliminary economic assessment confirmed Pitombeiras is a project with very robust economics and remarkable potential for further growth, which we are committed to delivering," said executive chairman Brian McMaster.

"The funds received from the sale of the ValOre shares, along with the proceeds raised in the recent placing, will allow us to further strengthen this initial preliminary economic assessment through the expansion of the resource and completion of new metallurgical tests, which will provide the basis for discussions with potential traders and off-takers."

At 1242 GMT, shares in Jangada Mines were up 1.41% at 9.38p.

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