The company says its placement – at 13c a share – drew strong support from new and existing shareholders.
The fresh funding brings ETM’s total cash on hand to a healthy $56.59m, capital the company intends to channel toward development of its Kvanefjeld REE project, the acquisition of the Penouta tin-tantalum-niobium mine and strategic engagement with US critical minerals policy.
Energy Transition Minerals managing director and CEO Daniel Mamadou-Blanco said the company was delighted with the response to its capital raising, which reflected the support from the market for the company strategy to become a Western platform for critical minerals supply, and align itself even further with global capital markets.
“Our Western oriented supply chain platform is taking shape. Penouta, once restarted, will be a sustainable source of conflict-free coltan and tin for the market. Kvanefjeld, once permitted, is a potentially transformative project which stands as a cornerstone of Greenland’s economic future ” he said.
“The project, which has been designed to meet the highest environmental and social standards, has the potential to create thousands of jobs and contribute billions in taxes and royalties – making a generational impact on the people of Narsaq and the surrounding areas.”
Rare earths form one of the key inputs to many energy transition-critical technologies, including permanent magnets for high performance electric motors and rotor-less drives. Tin supports renewable infrastructure durability and is a key anode material in both sodium-ion and solid state batteries. Tantalum has a high impact role in defence and advanced electronics.
Mamadou-Blanco said the proceeds of the capital raise would strengthen ETM’s balance sheet, allowing the company to progress the development of its portfolio of critical metals projects including the REE Kvanefjeld asset in Greenland and the Penouta tin and tantalum asset in Spain..
“We are witnessing a reconfiguration of critical supply chains, and rare earths in particular, where the center of gravity is edging West. There is still a lot of ground to cover, but there are clear signs that the ecosystem is now operating in synch across stakelholders. he said.
Energy Transition Minerals is also considering a separate placement to OCJ Investments, offering the firm the opportunity to subscribe for shares equalling the pro rata equivalent of 15.38%.
The offer, made in accordance with OCJ’s right to request up to a pro-rata equivalent of their holding in certain equity placements, will be subject to shareholder approval at an EGM to be held before March 30.
