Astute Metals (ASX:ASE) is conducting a placement to raise $5.5 million as part of its strategy to assess the potential of the Needles Gold Project and Red Mountain Lithium Project in Nevada, US.
Under the two-tranche placement, 366.66 million shares will be issued at $0.015 per share. Alpine Capital and Evolution Capital will act as joint lead managers to the placement.
Subject to shareholder approval, the company will also launch a share purchase plan (SPP) to existing shareholders, raising up to $500,000. The SPP will be offered at the same price as the placement.
Funds will be put towards delivering a maiden resource estimate at the Red Mountain Project, as well as conduct drill testing of gold-silver targets at the Needles Project.
Chairman Tony Leibowitz says the company is poised for a “significant” H2 2025 as it advances preparations to deliver the maiden resource for the lithium claystone discovery at Red Mountain.
“The project continues to demonstrate the potential to evolve into a tier one North American critical minerals asset,” Leibowitz says.
“The delivery of a maiden JORC-compliant resource will represent a major milestone for the company and is expected to unlock substantial value as we transition from exploration into the resource definition phase.
“We are also excited by the emerging potential at our Needles Gold Project, where a re-evaluation of historical exploration data has identified a number of drill-ready gold-silver targets. This comes at a time of renewed investor interest in precious metals, particularly gold and silver.”
Astute is also proposing to seek shareholder approval at a forthcoming general meeting to change its name to Venari Minerals.
Astute Metals is a diversified mineral explorer focused on discovering and developing deposits of critical metals required for electrification and the global energy transition, with a principal focus on lithium, copper, and gold.
Write to Aaliyah Rogan at Mining.com.au
Images: Astute Metals
