Battery metals project developer South Star has increased the size of its previously announced nonbrokered private placement and will now raise gross proceeds of C$7-million.
The upsized placement at C$0.72 a share is the result of “significant demand”, the company said in a statement on Friday.
The TSX-V has granted an extension to the closing time of the private placement to February 29.
South Star is focused on the selective acquisition and development of near-term production projects in the Americas. The company’s South Star’s Santa Cruz graphite project, in Brazil, is the first of a series of industrial and battery metals projects that will be put into production.
South Star is fully funded for Phase 1, and the construction and commissioning are under way. Santa Cruz will be the first new graphite production in the Americas since 1996 with Phase 1 commercial production projected for the first quarter.
Phase 2 production (25 000 t/y) is partially funded and planned for 2026, while Phase 3 (50 000 t/y) is scheduled for 2028.