MTM plans to raise A$5 million by issuing 62.5 million shares at A$0.08 each as part of a two-tranche private placement.
In the first tranche, the company will issue up to 19.9 million new shares, raising $1.59 million.
The second tranche, which is subject to shareholder approval, aims to raise A$3.41 million through the issuance of 42.6 million new shares.
In addition, the company plans to raise approximately A$2 million by issuing shares to qualified shareholders through a rights issue.
Subject to shareholder approval, up to 31.25 million listing options will also be conditionally placed.
Lachlan Reynolds, managing director of MTM, said: “We are pleased with the strong demand for the placement, which confirms our recently announced acquisition of Flash Metals Pty Ltd (Flash), which includes three properties in the neighboring West Arunta area. Approved Asset.” The property is owned by WA1 Resources Ltd (ASX:WA1) and Encounter Resources Ltd (ASX:ENR) and holds two exploration licenses at Mukinbudin that feature niobium and rare earth elements (REE) potential.
Flash also has the option to negotiate exclusively for rights to Flash Joule Heating technology developed at Rice University in Houston, US, which has the potential to process rare earth mineralization and more efficiently recover critical metals from critical metal-rich recycling and waste streams. “
The first tranche of funding will support the company’s rare earth elements projects at Pomme and East Laverton, including metallurgical testing and working capital.
The Pomme project is located in the Canadian province of Quebec and has 43 mineral claims covering 2,400 hectares.
It is located near the Montviel deposit, a carbonatite deposit, with resources of 266 million tonnes and a total rare earth oxide content of 1.45%.
The East Laverton Project is a Western Australian gold project covering approximately 3,000 square kilometres.
It is close to the Laverton Greenstone Belt, which hosts Sunrise Dam with 10 million ounces (Moz) gold (Au), Wallaby with 8 Moz Au and Granny Smith with 2.5 Moz Au.
