WA1 Lands $100 Million Placement for Luni Niobium Project

WA1 Resources (ASX: WA1) has received firm commitments for a placement of new fully paid ordinary shares in the company to raise $100 million.

Funds raised from the placement are set to predominantly support ongoing pre-development activities at the Luni Niobium project in Western Australia including mine design studies, process flowsheet testwork and optimisation, and permitting workstreams.

Placement funds are also to be applied towards capital expenditure associated with key items of supporting infrastructure for the strategic advancement of the Luni Niobium Project. Finally, the Placement delivers support to planned exploration activities, administration/corporate costs and general working capital.

Canaccord Genuity acted as Global Coordinator, Joint Lead Manager and Joint Bookrunner, Argonaut Securities Pty Limited acted as Joint Lead Manager and Joint Bookrunner and Bell Potter Securities Ltd acted as Co-Manager to the Placement.

“The Luni Niobium project is clearly an exceptional asset and this was again reflected in the strong demand received for the placement from existing shareholders and new institutional investors across the world,” WA1’s Managing Director, Paul Savich, said.

“Following the placement, the company will hold approximately $168.1 million in cash, providing balance sheet strength to assist with progressing one of Australia’s most important critical mineral projects.

“These funds will allow us to continue to implement our strategy of committing to critical path and long-lead activities, and allow important capital expenditure in relation to various key supporting infrastructure components.”