The second Capital Crunch for this week sees Latrobe Magnesium (ASX:LMG) secure firm commitments to raise $12 million via an institutional placement and a further $6 million via an entitlement offer.
The proceeds will be used for final structural works and the commissioning of Latrobe’s demonstration plant, final engineering ahead of steady-state 1,000-tonnes-per-year magnesium metal production, as well as research and development currently underway alongside CSIRO.
Under the placement, 267 million shares will be issued at $0.045 each, representing a 19.6% discount to Latrobe’s last price of $0.056 per share.
The entitlement offer, meanwhile, will see 133 million shares issued at the same price as the placement. Ord Minnett will act as the sole lead manager to the placement and entitlement offer, as well as underwriter to the entitlement offer.
Latrobe notes the offer is undertaken on the basis of one new share for every 15 existing shares held at the record date.
The entitlement offer will open on 12 June 2024.
Meanwhile, uranium-focused Aura Energy (ASX:AEE) has closed its share purchase plan (SPP), raising $2 million.
The SPP was announced on 18 March in connection with a $16.2 million placement. Together, the company raised a total of $18.2 million.
The proceeds will support Aura’s pre-development activities at the Tiris Project in Mauritania, with a final investment decision expected in 2024 and production expected in 2026.
Some of the funds will also support developing the Häggån Project in Sweden, as well as for general working capital.
Sunstone Metals (ASX:STM) has raised $3.8 million through a share placement and a one-for-nine non-renounceable entitlement offer.
The entitlement offer, which is now closed, raised $1.84 million via the issue of 167.43 million new shares, which will be allotted today.
Sunstone says the proceeds will be used to accelerate drilling at the Limon gold-silver epithermal discovery within the Bramaderos concessions, to fund other ongoing exploration work across Bramaderos, El Palmar, and Verde Chico, and to fund corporate running costs and replenish working capital.
Finally, Buxton Resources (ASX:BUX) has received firm commitments to raise up to $3.5 million via a placement and SPP at $0.085 per share.
The proceeds will be applied to exploration work across the company’s critical mineral projects, including Graphite Bull, Narryer, and Centurion in Australia, as well as the newly acquired Matrix Manganese Project in Arizona.
Under the placement, Buxton aims to raise $2.5 million by issuing 29.41 million shares, with one free attaching option for every two new shares subscribed for, exercisable at $0.16 for a two-year period.
The SPP aims to raise $1 million, with shares to be issued at the same price as the placement.
Evolution Capital will act as the sole lead manager to the placement and SPP.
Write to Aaliyah Rogan at Mining.com.au
Images: Latrobe Magnesium
