The new shares are being priced at 40c each.

The company said the funds would allow the mining of satellite pits near Morilla and production of 50,000ozpa, ahead of the reboot of mining in the Morila pit (following dewatering and pre-strip) in the second half of next year and an output rate of 120,000oz.

That production profile would increase to 170,000oz in 2023, and then 200,000oz the following year.

The new funding will also be used for exploration and progressing the demerger of the company's Goulamina lithium business.

Earlier this month Firefinch unveiled a deal with Chinese lithium major Ganfeng that will see both companies have a 50% stake in a plus-400,000tpa lithium concentrate business after the incoming party effectively provides funding for the project's development.

Shares in Firefinch were trading this week at 45c, capitalising the company at $360 million.

The stock is up from levels around 10c 12 months ago.