Receives Firm Commitments for $13.7 Million in Capital Raising
The Company will issue approximately 65 million new ordinary Shares under LR7.1 at a price of 21 cents per share. It is expected that the receipt of funds and issue of new ordinary shares will be completed by 15 August 2018.
Together with funds on hand of $20.7 million at the end of June 2018 (as reported on 25 July 2018) the Company has approximately $34 million in cash which will allow it to commit to the order for the long lead time equipment for the processing plant, being the Rotary Kiln and Sulphuric Acid Plant.
Charles Lew, Executive Chairman, commented "despite the difficult capital market conditions, this placement had the support of many of its existing shareholders and significant participation from new institutional fund managers. The additional cash resources will enable us to continue with the momentum for the development of the Yangibana rare earths project. With the recent upgrade in the Yangibana probable reserves to 7.74 million tonnes(see Note 1 below) and the exclusive project finance mandate signed with KfW IPEXBank for project financing(see Note 2 below), the Company is confident of its progress towards building a mine to produce high grade NdPr in Western Australia.
We welcome these new shareholders to the Company and thank our existing shareholders for their ongoing support."
1 See ASX Announcement dated 31 July 2018
2 See ASX Announcement dated 27 July 2018
About Hastings Technology Metals Ltd
- The Yangibana Project hosts Probable Reserves totaling 5.15 million tonnes at 1.12% TREO including 0.45% Nd2O3+Pr6O11 within JORC Resources totalling 21.0 million tonnes at 1.17% TREO (comprising Measured Resources of 3.9 million tonnes at 1.19% TREO, Indicated Resources of 8.6 million tonnes at 1.25% TREO and Inferred Resources of 8.4 million tonnes at 1.09% TREO), including 0.40% Nd2O3+Pr6O11.
- The Brockman deposit contains JORC Indicated and Inferred Resources totalling 41.4 million tonnes (comprising 32.3mt Indicated Resources and 9.1mt Inferred Resources) at 0.21% TREO, including 0.18% HREO, plus 0.36% Nb2O5 and 0.90% ZrO2.
- Rare earths are critical to a wide variety of current and new technologies, including smart phones, electric vehicles, wind turbines and energy efficient light bulbs.
- The Company aims to capitalise on the strong demand for rare earths permanent magnets created by expanding new technologies.
Hastings Technology Metals Ltd