ASX-listed TNG will raise A$12.5-million in a share placement to fund work at its Mt Peake vanadium/titanium/iron project, in the Northern Territory, and to progress green energy initiatives.
The company on Tuesday said that it had received firm commitments from institutional and high net worth investors.
A total of 139-million new shares would be issued under the company’s existing placement capacity, at a price of 9c each, representing a 25% discount to TNG’s last closing price.
“We are very pleased with the strong level of interest received from both institutional and high net worth investors in this capital raising, and we are pleased to be working with the leading investment bank Canaccord Genuity on our equity funding strategy for Mt Peake,” said MD and CEO Paul Burton.
“We are now in a strong financial position to move forward with all of the work streams required to support the planned development of a fully-integrated operation at the Mt Peake mine site and execute our funding strategy to launch this major new critical metals project, which is of considerable strategic importance to the Northern Territory and Australia.”
Funds raised will go towards consolidation planning for the Mt Peake project, including required permitting, engineering and execution planning work streams, project financing work streams, and progressing TNG’s green energy initiatives, including green hydrogen opportunities for the Mt Peake project and the company’s vanadium electrolyte production strategy.
TNG previously unveiled plans to progress the development of its Mt Peak project with a fully integrated mining and processing operation within its existing mining lease.
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