American Rare Earths Limited (ASX: ARR | ADRs – OTCQX: AMRRY | Common Shares – OTCQB: ARRNF) (“ARR” or the “Company”), a leader in the exploration and development of critical minerals essential for the clean energy transition, is thrilled to announce the successful completion of a placement that raised A$13.5 million through the issuance of 45 million new fully paid ordinary shares at an issue price of A$0.30 per share (“Placement”).
This significant capital injection was met with strong enthusiasm from both existing shareholders and new institutional investors, underscoring the market's confidence in ARR's strategic direction and its commitment to developing the Halleck Creek Rare Earths Project in Wyoming, USA. The project is poised to play a pivotal role in providing a secure supply of critical minerals vital for the North American supply chain and for the broader global efforts towards sustainable energy solutions.
Use of Proceeds to Accelerate Project Milestones
The funds raised from the Placement, supplemented by existing cash reserves, are earmarked for a series of strategic initiatives aimed at advancing the Halleck Creek project. Key activities include mineral resource and extensional drilling, the progression of a Pre-Feasibility Study (PFS), comprehensive metallurgical test work and process development, as well as critical heritage, permitting, and environmental activities. These steps are essential for the project's development and for ensuring its alignment with environmental and community standards.
In addition, a portion of the proceeds will be allocated towards general working capital, supporting the Company’s operational efficiency and its ability to meet project development milestones.
A Commitment to Environmentally Friendly and Cost-Effective Extraction
ARR is at the forefront of developing innovative and sustainable extraction and processing methods. The Company's approach not only meets the increasing demand for resources critical to the clean energy transition and US national security but also minimizes environmental impact. This commitment to sustainability is a cornerstone of ARR’s strategy and is integral to its operations and project development plans.
A Milestone for ARR and the Clean Energy Transition
The successful Placement is a testament to the confidence investors have in American Rare Earths Limited and its strategic vision. It provides a significant runway for ARR to execute its project development milestones and reinforces its position as a key player in the secure and sustainable supply of critical minerals.
ARR is committed to keeping its stakeholders informed of its progress and looks forward to sharing further updates on the Halleck Creek project and other initiatives.
American Rare Earths CEO, Donald Swartz, commented on the Placement:
“I am thrilled to announce the successful completion of our institutional placement, which has raised A$13.5 million. The overwhelming support from both existing shareholders and new institutional investors underscores the confidence in our vision and the potential of our projects in particular the Halleck Creek Rare Earth Project.
This Placement provides us with the capital to advance our flagship project, Halleck Creek, towards delivering a secure supply of critical minerals to the North American supply chain. We are committed to executing on our project development milestones and are grateful for the support that enables us to further our mission.
With a focus on environmentally friendly and cost-effective extraction methods, we are well set to meet the escalating demand for resources essential to the clean energy transition and US national security. This milestone marks a pivotal moment in our journey, and we are excited for the opportunities that lie ahead as we continue to drive value for our shareholders and stakeholders alike”.
About us:
American Rare Earths (ASX: ARR | ADRs - OTCQX: AMRRY | Common Shares - OTCQB: ARRNF) owns the Halleck Creek, WY and La Paz, AZ rare earth deposits. The Company’s flagship project at Halleck Creek, WY, has the potential to become the largest and most sustainable rare earth projects in North America. American Rare Earths is developing environmentally friendly and cost-effective extraction and processing methods to meet the rapidly increasing demand for resources essential to the clean energy transition and US national security. The Company continues to evaluate other exploration opportunities and is collaborating with US Government-supported R&D to develop efficient processing and separation techniques of rare earth elements.
Contact details:
Jane Morgan
