Northern Minerals Limited (ASX: NTU), an Australian heavy rare earths-focused company, has announced the successful completion of a placement to new institutional and sophisticated investors, raising approximately $60.5 million before costs. The company owns 100% of the Browns Range Heavy Rare Earths Project in the East Kimberley region of Western Australia. The project’s deposits are uniquely rich in the heavy rare earth elements dysprosium and terbium.
The placement involved the issue of 1,186,998,295 fully paid ordinary shares at a price of $0.051 per share, utilising the company’s existing placement capacity under ASX Listing Rule 7.1. The raised capital is earmarked for advancing the company’s 100%-owned Browns Range Heavy Rare Earths Project located in the East Kimberley region of Western Australia.
Northern Minerals has also stated that it will immediately repay the Iluka convertible note principal of $15,000,000, which matured on 31 December 2024. An additional $3,507,947 in interest, calculated according to the convertible note deed, will also be repaid. The repayment will be funded using proceeds from the placement combined with existing cash reserves.
The announcement of the successful placement was authorised by the Board of Directors of Northern Minerals Limited. Further details can be found in the Appendix 2A that accompanies the announcement.
