Gaelic Resources said it will raise £1.02 million sterling before expenses through the placing of 34 million new ordinary shares at a price of 3p sterling per share.

The money will be used to meet the exploration company's planned outlay on its Portuguese licence interests and to complete work commitments for 1998.

Gaelic Resources has a 25 per cent working interest in five licences in the Lusitanian Basin, onshore and offshore Portugal, as well as rights to participate in a 30 per cent working interest in a licence in the East Orkney Basin in the North Sea.