Heavy Minerals (ASX:HVY) has raised $80,000 through its at-the-market (ATM) facility with Acuity Capital by setting off 210,000 shares previously issued as security under the agreement.
The set-off shares have a deemed issue price of $0.38 per share, representing a 6.58% premium to the $0.355 closing price on 17 August 2026.
Heavy Minerals says the funds will be directed towards working capital.
The set-off reduces the total number of collateral shares to 3.29 million that Acuity Capital is required to return to the company upon termination or maturity of the ATM agreement.
The company owns the Port Gregory Garnet Project in Western Australia, which hosts a mineral resource of 165 million tonnes (Mt) @ 4.0% total heavy minerals (THM) containing 5.8Mt of garnet.
Port Gregory also has a maiden probable ore reserve of 85.5Mt @ 4.43% THM for 3.3Mt of contained garnet, supporting a 24-year mine life and a post-tax net present value of $322.8 million.
Heavy Minerals has entered into a binding tailings processing agreement with Kantra Copper (ASX:KAN) — formerly Hillgrove Resources — to produce garnet from the Kanmantoo copper mine tailings in South Australia, targeting 50,000 tonnes per annum (tpa), with potential to expand to 100,000tpa.
The company also owns the Red Hill Garnet Project in Western Australia and holds a 70% interest in the Inhambane Heavy Mineral Sands Project in Mozambique, which hosts a mineral resource of 90Mt at 3% THM.
Heavy Minerals is a Perth-based industrial mineral exploration and development company advancing garnet, zircon, rutile, and ilmenite across Australia and Mozambique.
Write to JC Villarba at Mining.com.au
Images: Heavy Minerals
