ASX-listed Volt Resources has received firm commitments from professional and sophisticated investors for a placement to raise A$1.72-million.
Volt chairperson Asimwe Kabunga subscribed for fully paid ordinary shares and unlisted options for an additional A$284 000 on the same terms as the placement securities, subject to shareholder approval, for a total commitment of A$2-million.
Proceeds from the placement will be used to advance Volt’s integrated graphite battery materials plans.
This includes working capital for the restart of production at the Zavalievsky graphite mine, in Ukraine, and processing plant and the export of graphite products to customers in Europe.
Moreover, it is for continuing production of lithium-ion battery anode, alkaline and lead acid battery product samples for customer test work and offtake discussions.
Further, there is preparation of feasibility studies for a small-scale CSPG (battery anode material) production facility in the US, and a larger CSPG facility that can be used as a template design for facilities in the US and Europe.
There is also the update of the Bunyu Stage 1 feasibility study focussed on capital and operating costs, and approvals; ongoing business development, Bunyu graphite offtakes and Bunyu financing discussions and negotiations; and working capital costs.
“The Volt board is pleased with the strong support from existing shareholders and new investors with this capital raising.
“The decision to recommence the graphite mine and processing operations in western Ukraine is a positive step forward for the Zavalievsky management and staff, local communities and businesses that depend on the graphite business for their livelihoods,” MD Trevor Matthews says.
Peak Asset Management acted as the lead manager to the placement.