Power Minerals Limited (ASX: PNN) has announced it will raise A$2.6 million through a placement to sophisticated and professional investors. Power Minerals is an ASX-listed exploration and development company focused on transforming its lithium resources in Argentina, exploring its promising niobium and other critical mineral assets in Brazil, and maximizing value from its Australian assets. The funds raised will primarily be used to finalise due diligence for the Santa Anna Niobium and Rare Earth Element (REE) Carbonatite Project in Brazil.
The placement involves the issue of 51,999,963 new fully paid ordinary shares at A$0.05 per share. Participants will also receive one free attaching listed option (ASX: PNNOA) for every two new shares subscribed, exercisable at A$0.10 each and expiring on 31 December 2029. The placement price represents a 16.7% discount to the company’s closing price on 17 July 2025 and a 14.5% discount to the 15-day VWAP up to and including that date.
Oakley Capital Partners acted as the lead manager for the placement, which was reportedly well-supported and scaled back to the agreed A$2.6 million. The funds will support analysis of assays from Power’s drilling program at Santa Anna, further targeted sampling, and general working capital. Managing Director Mena Habib will participate in the placement for A$25,000, subject to shareholder approval.
The company will seek shareholder approval at a general meeting in September 2025 for the issue of Tranche 2 placement shares, free attaching options, and lead manager options. Power Minerals will also seek approval to raise an additional A$1 million on the same terms as the placement, at the discretion of the Lead Manager.
