Core Lithium has secured commitments for a A$50m placement to fund the Finniss Lithium Project. The company will issue 476.2 million shares at A$0.105 each, with strong support from new investors. Operations at Finniss were halted in January 2024 due to declining spodumene concentrate prices.

The placement will be managed by Argonaut Securities and Canaccord Genuity, with Mills Oakley providing legal advice. The first tranche is expected to raise A$29.2m, with settlement on September 3, followed by a second tranche subject to shareholder approval. The offer price represents a 12.5% discount on the last traded share price.

Core Lithium CEO Paul Brown expressed gratitude for the support from new investors, strengthening the balance sheet for the Finniss project. The funding will cover critical early works and operational readiness costs, moving towards a positive final investment decision. Core retains discretion over the SPP, allowing flexibility based on oversubscriptions or scaled-back applications.

Read more at Yahoo Finance: Core Lithium announces A$50m share placement