QEM (ASX:QEM) has today (14 October) lodged a second supplementary prospectus in relation to its partially underwritten $3 million entitlement offer.
Settlement and issue of securities is scheduled for before noon (AEDT) on 25 October 2024.
As reported by Mining.com.au on 23 September, QEM is conducting a two for seven renounceable rights issue to raise up to $3 million to fund progress of a Prefeasibility Study (PFS) at the Julia Creek Vanadium and Energy Project in Queensland.
The rights issue is partially underwritten to $1.6 million by lead manager and underwriter Mahe Capital.
All directors intend to participate in the capital raise, totalling $100,000 in the form of sub-underwriting. QEM major shareholder (and ex-director) David Fitch has also sub-underwritten his entitlements ($884,393), which form part of the $1.6 million underwrite of the $3 million target, as reported.
As announced last week, the closing date for the offer has been extended to this Friday (18 October) to allow shareholders more time to consider the offer.
Commenting on the capital raising in September, QEM Chair Tim Wall says the fundraising follows delivery of a “positive Scoping Study for QEM’s Julia Creek Project demonstrating a distinctive and commercially attractive project for onsite critical minerals refining in Queensland”.
QEM is focused on the exploration and development of its flagship Julia Creek project, covering 250km² in the Julia Creek area of North Western Queensland.
The project has a JORC (2012) mineral resource of 2.87 billion tonnes @ 0.31% V2O5 and is one of the single largest ASX-listed vanadium resources. The resource comprises 461Mt @ 0.28% V2O5 in the indicated category and 2.406Bt @ 0.31% V2O5 in the Inferred category, in addition to a contingent (SPE-PRMS 2018) in-situ oil resource.
In close proximity to all major infrastructure and services, the project is intersected by the main infrastructure corridor of the Flinders Highway and Great Northern Railway, connecting Mt Isa to Townsville.
Write to Adam Orlando at Mining.com.au
Images: QEM
