Meteoric Resources (ASX:MEI) has increased its private placement to $42.5 million due to strong investor demand. The funds will be used to advance its flagship Caldeira Project towards a final investment decision (FID). Meteoric Resources is an explorer focused on the development of its Caldeira Project. The company will issue approximately 304 million shares at $0.14 per share.
The placement price represents a 9.7% discount to the last trading price of $0.155 and a 3.3% discount to the volume-weighted average price of $0.145 as of close on 18 July. Settlement of the shares is expected on 29 July, with allocation occurring the following day. Cornerstone commitments have been secured from North American funds. Canaccord Genuity and SCP Resource Finance acted as joint lead managers and bookrunners for the placement.
According to CEO Stuart Gale, the funding will enable the company to enhance the Caldeira Project through further investment and optimisation of its recently released Prefeasibility Study (PFS). A key focus will be the establishment of a pilot plant at Poços de Caldas to produce bulk samples of mixed rare earth carbonate for metallurgical test work, customer validation, and downstream development. The company expects that outcomes from these programs will inform the Caldeira Project development, moving it closer to a final investment decision in 2026.
Meteoric intends to allocate the proceeds, along with its existing cash reserves, towards streamlining a Definitive Feasibility Study (DFS), including engineering studies. Additionally, the company will pursue environmental licensing and community programs, as well as development activities aimed at converting the project’s existing 1.5 billion-tonne resource base. The PFS highlighted a probable ore reserve of 103 million tonnes at 4,091 parts per million total rare earth oxide (TREO) for 421,000 tonnes of contained TREO.
