PERTH (miningweekly.com) – ASX-listed Australian Mines will raise A$5-million through a share placement to sophisticated and institutional investors to accelerate its cobalt and nickel projects in Australia.
The company on Wednesday said that it will place more than 172.4-million shares at a price of 2.9c each, to raise the capital. The placement will be done under Australian Mines’ existing capacity, and will not require shareholder approval.
“This fundraising demonstrates the appetite for exposure to the battery materials sector by the investment community continues to be buoyant,” said Australian Mines MD Benjamin Bell.
“We continue to see a positive outlook for battery and technology metals, with independent market analysis forecasting a 15-fold increase in cobalt demand over the next decade, with an emphasis by battery manufacturers and auto makers alike for ethically sourced material.”
Funds raised will go towards optimising the existing bankable feasibility study for the Sconi cobalt/nickel/scandium project, in Queensland, and to complete resource expansion drilling at the Flemington copper/nickel/scandium project, in New South Wales.