Drilling at the Kachi project area in Argentina
Australia’s Lake Resources has announced an equity raising of up to A$20-million to provide funding capacity to support the delivery of a strategic partnership process for the Kachi project, in Argentina.
Lake has received firm commitments for a A$15-million institutional placement through the issue of 213.6-million new fully ordinary shares at A$0.07 a share.
In addition, the company will be undertaking a share purchase plan at the same price to raise up to A$5-million.
Lake is actively conducting outreach to an array of potential partners, including car and battery manufacturers, lithium producers, oil and gas companies, sovereign wealth funds and private equity for Kachi. The strategic process should conclude in the second half of the calendar year.
“We are pleased with the level of support shown for Lake from both existing and new shareholders,” commented CEO David Dickson.
To complete the strategic partner selection process for Kachi, Lake earlier this month announced deep cost cuts to extend its financial runway, including staff reductions.
Lake plans to deliver the Kachi project in 2028, which it believes will align with the start of a prolonged period of structural deficit for battery-grade lithium chemicals.