Si6 Metals (ASX:SI6) has topped up its coffers with $1.5 million by issuing 375 million shares at $0.004 per share to sophisticated and professional investors.
PAC Partners and Peak Asset Management were retained as joint lead managers to the placement and will receive 6% of the total capital raised.
The $8.81 million market capitalisation company says funds will be used to advance the company’s exploration programs at the Brazil rare earth element (REE) and lithium projects, which the company recently acquired a 50% interest in.
Proceeds from the placement will also be used to progress exploration in Botswana and Western Australia, a strategic review of this portfolio, assess expansion opportunities in Brazil, and general working capital.
The placement includes an additional 1:1 bonus option for every share issued which will be exercised with a strike price of $0.02 and an expiry of 30 June 2027
The company has also unveiled its ‘aggressive’ exploration program, which it says should result in ‘significant’ newsflow with expected results from stage one Brazil sampling results due in April 2024.
Further, a second phase of Brazil exploration is set to begin in mid-March focusing on REE licences in the Caldera and Lithium Valley, as well as a planned auger drilling program in late April going through May and June.
Additional exploration programs are also planned for the Lithium Valley for later in the year.
Managing Director says: “Si6 is thrilled to receive such strong support for the company and its exploration strategy in Brazil, which continues to emerge as a global hotspot for critical metals such as rare earth elements and lithium.
The funds raised will enable Si6 to accelerate exploration at our critical metals joint venture projects in Brazil. Si6 has already commenced early stage exploration in Brazil and now looks forward to expanding this program towards drilling.”
Si6 is a critical minerals and minerals explorer with base and precious metals projects in the Limpopo Mobile Belt in Botswana, as well as an equally owned interest in a portfolio of REE, lithium, gold, and base metals projects in Brazil.
Write to Adam Drought at Mining.com.au
Images: Si6 Metals
