GTI Energy (ASX: GTR) has received $2.5 million and issued 710 million shares as part of the initial tranche of a placement aimed at raising a total of $4.5 million. The funds are earmarked to advance the company’s Lo Herma in-situ recovery (ISR) uranium development project located in Wyoming. GTI Energy focuses on exploration and development of energy resources. They aim to supply the growing demand for clean energy solutions.
The second tranche, pending final due diligence, will include $1.48 million from Snow Lake Energy, a US-based cornerstone investor. Snow Lake Energy currently holds a 50% equity stake in the Pine Ridge joint venture, which is adjacent to the Lo Herma project. GTI Energy anticipates shareholder approval of the Snow Lake investment at an upcoming general meeting scheduled for next week. During this meeting, the company will also table a proposed change of name.
GTI Energy has submitted updated drilling permits to Wyoming’s environmental authorities and the US Bureau of Land Management. The permits are for a program involving up to 121 new drill holes at Lo Herma, totalling approximately 37,500 metres. The drilling program will include step-out drilling to expand resources to the north and infill drilling to upgrade mineral resources. The company expects the work to commence in September, contingent upon contractor availability and permit approvals.
According to GTI Energy, the execution of this field program should provide data to support optimising resource models and defining operational parameters. This is expected to play a key role in advancing the Lo Herma project towards production. The Lo Herma project is located in the Powder River Basin, which has a history of ISR uranium production.
