Minerals and trading group Lonrho Africa has raised £12.8 million to replenish funds and develop a freeport in Equatorial Guinea.

AIM-quoted Lonrho, headed by entrepreneurial Australian David Lenigas (associated with the Cambrian Mining/Asia Energy camp), raised its money at 28p with the help of Strand Partners. The company says it will use the money partly to maintain a balance of funds for investing in natural resources, infrastructure, leisure and agriculture in Africa and partly to back project financing for Luba Freeport in Equatorial Guinea.

Lonrho has 63 per cent of Luba Freeport, which wants to develop a port facility to handle West Africa's booming oil business. The company also has key stakes in Nare Diamonds and Brinkley Mining, whose own AIM launch was marred by pre-float punters' profit-taking.

At 29p Lonrho (Africa) are 0.25p off today, but still 41 per cent up on Growth Company Investor's April recommendation. Partial profit taking might be prudent, but it should be worth holding a chunk for future speculative possibilities.

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