VHM (ASX:VHM) has successfully completed a placement, raising $8.25 million to advance its Goschen Project in Victoria towards a final investment decision. The placement involved the issuance of 33 million shares at $0.25 per share, reflecting a 19.4% discount to the closing price on May 8th. The underwritten component of the placement covered $7.25 million, with the company accepting an additional $1 million due to strong demand.
Following the placement, VHM will offer eligible shareholders the opportunity to participate in a share purchase plan, aiming to raise an additional $2 million. This plan allows shareholders to apply for up to $30,000 worth of new shares. VHM CEO Ron Douglas highlighted that the continued support from key shareholders validates the strategic importance of advancing the wholly-owned Goschen Project. He noted that the funds raised will support ongoing work programs leading up to the final investment decision expected in Q3 CY25, contributing to the capital requirements for stage-one of the project’s capital expenditure.
In April 2024, VHM signed a memorandum of understanding with Currumbin Minerals to secure the supply and delivery of zircon-titania heavy mineral concentrate from the Goschen Project. VHM focuses on the exploration and development of rare earth and mineral sands, aiming to bolster clean-energy use in Australia. The Goschen Project is central to VHM’s strategy to contribute to the growing demand for these critical materials.
