The Australian mining company Triton Minerals has announced that it will carry out a capital increase of $8.47 million to accelerate the development of the graphite exploration unit project, which is located in the district of Ancuabe in the northern Mozambican province of Cabo Delgado. The wholly owned subsidiary of Jinan Hi-tech Holding Group is the largest shareholder of Triton Minerals.

The funds will be raised through the issue of approximately 302.5 million ordinary shares at an issue price of 2.8 cents per share. The capital raising will be carried out in two phases, with the first phase planned to raise $3.47 million by issuing 124 million shares to institutional and sophisticated investors.

The second phase, which is still subject to shareholder and regulatory approval, includes a A$5 million commitment from Shandong Yulong to subscribe for 178,571,429 shares, which will allow Shandong Yulong to become the Australian mining company’s second largest shareholder.

With the expected income from the capital increase, Triton expects to go into production at Ancuabe in September of next year.