Orange Minerals (ASX:OMX) signed a binding agreement with Savannah Mining Ghana to acquire three reconnaissance licenses in the Tepa Project, according to a Wednesday filing with the Australian bourse.

The consideration payable for the licenses includes reimbursement of up to $150,000 for vendor costs, 18 million ordinary shares, 18 million options exercisable at $0.20 within three years, 30 million performance shares, and 1.5% net smelter return royalty, the filing said.

The acquisition is subject to standard conditions, including due diligence, vendor representations, and necessary approvals, the filing added.

Additionally, Orange Minerals secured commitments from eligible sophisticated, institutional, and professional investors to raise AU$810,000 via the issue of 27 million fully paid ordinary shares at AU$0.03 per share, the company said.

Participants will also receive one attaching placement option for every share subscribed with an exercise price of AU$0.09 per share and an expiry date of 24 months from issue, the company added.

Funds raised will be used to finalize due diligence on the project acquisition, support exploration of existing projects, and for general working capital.