WA Kaolin (ASX:WAK) has raised $6 million through a partially underwritten non-renounceable entitlement offer, reducing the company’s debt by $10.13 million.
The company received support from major shareholders, including $4.24 million from Century Horse and $500,000 from Boneyard Investment.
Boneyard, Wamco Industries, and Scientific Management Associates made debt-to-equity conversions of $3.52 million, $1.15 million, and $5.46 million, respectively.
WA Kaolin’s operational focus remains on improving plant availability, increasing recoveries, and lifting production throughput at the Wickepin processing facility, located 220km southeast of Perth, Western Australia.
The company commissioned the processing plant in September 2022 before beginning a two-stage ramp-up to produce up to 400,000 tonnes each year.
Improvement strategies for the plant include targeted wear-reduction initiatives, dust-protection upgrades, and waste-recovery projects to improve kaolin product yields and reduce downtime.
WA Kaolin is targeting increased production rates while improving operating performance, as the company progresses towards sustained commercial-scale operations.
The company has outlined a target increase in production to around 6,000 tonnes per month through these initiatives.
WA Kaolin is a kaolin producer focused on advancing its Wickepin Project in Western Australia.
Write to Maddison Elliott at Mining.com.au
Images: WA Kaolin
