Arizona Lithium hoping to raise A$10m
PERTH (miningweekly.com) – ASX-listed Arizona Lithium will raise A$10-million in a share placement to advance work at its Prairie lithium project in the US.
The company will undertake a two-tranche share placement to sophisticated and institutional investors, with the first tranche to comprise of 400-million shares, priced at 2.5c each, and 290.74-million options, priced at 5c each, which will be issued under the company’s existing placement price.
A second tranche of 109.25-million options will be issued subject to shareholder approval.
The options would have an expiry date of two years from the date of issue.
Arizona Lithium said on Friday that the proceeds from the placement would further strengthen the company’s balance sheet, placing Arizona Lithium in a position to advance the development of the Prairie project by undertaking a resource upgrade, constructing a pilot plant and completing a prefeasibility study. Following this, early works on a definitive feasibility study will commence.
The company will also use the funds to complete construction of the world-class Lithium Research Centre which will enable treatment of bulk samples taken from the Big Sandy lithium project.
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