On the back of Friday’s news, Cyclone Metals (ASX:CLE) is conducting an underwritten rights offer to raise $5.39 million, after completing a placement which raised $1.87 million.
The funds will be used to progress the Iron Bear Project in Newfoundland-Labrador, Canada, retiring debt, and general working capital.
Cyclone Metals, which has a market capitalisation of $10.47 million, will also use the funds to conduct a strategic review of its other mineral exploration assets in Australia and offshore.
Subject to securing approval for a 20-to-one share consolidation, Cyclone Metals will offer shareholders one share for every two shares held at $0.016 per share.
RM Corporate Finance will act as the lead manager to the placement.
Under the completed placement, 2.34 billion shares were issued at $0.08 per share, with one free attaching unlisted option, exercisable at $0.16 before 30 November 2028, for every two shares issued.
Meanwhile, Sihayo Gold (ASX:SIH) has reached an agreement with privately held Provident Minerals for an additional working capital loan facility of US$1.5 million ($2.23 million) with a maturity date of 31 December 2024.
Sihayo Gold says both parties have also agreed that the current working capital facility of US$3.9 million, due to mature on 26 October 2024, will be extended to 31 December 2024.
Sihayo Gold, which has a market capitalisation of $30.51 million, says the new facility and facility extension have been negotiated independently of the off-market takeover offer by Provident’s subsidiary Provident Aurum.
The funds received under the new facility will be used to pay for outstanding tax obligations and general working capital purposes.
Rare earth-focused company Vital Metals (ASX:VML) has received C$3 million ($3.3 million) from the Saskatchewan Research Council (SRC) for the sale of its stockpiled rare earth material.
Natural Resources Canada facilitated the sale.
Managing Director Lisa Riley says completing the sale has allowed the company to derive value from its earlier work at Nechalacho and to focus on developing its Tardiff deposit as a “long-life, large-scale” rare earths project.
Write to Aaliyah Rogan at Mining.com.au
Images: Cyclone extr
