Mining firms listed on London’s Alternative Investment Market (AIM) have raised $1.3bn for the first 11 months of 2009, according to Ernst & Young (E&Y).

The amount represents a decline compared with $1.57bn raised during the corresponding period in 2008.

E&Y director of mining and metals Tim Williams said that merger activity in the sector will continue into 2010, resulting in less companies being listed on the AIM until an appetite for initial public offerings returns.