Pilbara shareholders flock to SPP in droves

18th July 2017 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Lithium developer Pilbara Minerals has reported significant shareholder support for a recent share purchase plan (SPP), with the miner raising more than A$25-million.

This was significantly more than the A$15-million initially targeted by the SPP, which was launched in June this year.

The company on Tuesday announced that it had received applications for more than A$25.5-million in new shares from existing shareholders, after shareholders were given the opportunity to apply for up to A$15 000 in new shares, priced at 35c a share.

“Thanks to the continued support of Pilbara’s shareholders, via the SPP and following the recent successful bond raising, the company is now fully financed for the development of the Stage 1 Pilgangoora project,” said Pilbara MD Ken Brinsden.

“Against a backdrop of increasing customer demand and very healthy raw material pricing driven by the electrification of the vehicle industry and the roll-out of renewable power sources, the timing of Pilgangoora’s development could not be better.”

The Pilgangoora project is expected to produce an average of 314 000 t/y of 6% spodumene concentrate and 321 000 lb/y of tantalite, over a mine life of 36 years. All project approvals are already in place.