ASX-listed exploration company Recharge Metals (ASX:REC) has secured firm commitments from institutional, sophisticated, and professional investors in a conditional placement to raise $3 million to fund the Express Lithium Project in Canada.
The company says the conditional placement comprises 30 million fully paid ordinary shares at an issue price of $0.10 per share. Due to ‘significant’ demand for the placement, Recharge’s board decided to upscale the placement size from $2.5 million to $3 million.
On 15 March 2023, the company announced entry into a binding conditional agreement to acquire 100% ownership of 139 mineral claims over 2 contiguous blocks in the James Bay region of Quebec, Canada which forms the Express project.
Recharge also confirms it has received firm commitments from the board for $100,000 worth of fully paid ordinary shares in the placement worth of fully paid ordinary shares in the placement.
A notice of meeting seeking shareholder approval for the issue of the placement shares to investors will be distributed in due course. Completion of the placement is expected to occur shortly after the shareholder meeting on or around 28 April 2023.
Funds raised in the placement will be deployed towards advancing the exploration activities at Express. Recharge reports its initial exploration program will include the acquisition of LiDAR, high-resolution aerial imagery, and magnetics to assist with defining target areas ahead of the summer field campaign.
The summer field season will include detailed geological mapping and sampling. Diamond drilling will be subsequently completed on key lithium targets identified from the mapping and geochemical sampling.
Recharge Metals is an ASX-listed exploration company focused on exploring the Express Lithium Project in Quebec, Canada. The company also holds the copper-focused Brandy Hill South Project in Western Australia.
Images: Recharge Metals Ltd
