The capital raise is expected to help expedite the exploration programmes and associated study work pertaining to the two projects in Western Australia
Global Lithium Resources secures $21.5m for its lithium projects in Western Australia. (Credit: Khusen Rustamov from Pixabay)
Global Lithium Resources, a Western Australia-focused multi-asset lithium explorer, has announced a A$29.9m ($21.5m) capital raise to support its Marble Bar and Manna lithium projects.
Mineral Resources is the cornerstone investor in the placement with a commitment of A$13.6m ($9.8m) for a stake of 5% in Global Lithium Resources.
The Marble Bar lithium project (MBLP) is located in the Pilbara region, while the Manna lithium project is situated 100km east of the Goldfields. The project has an inferred mineral resource of 10.5Mt @ 1.0% Li20 at its Archer deposit.
In the Manna project, Global Lithium Resources has a stake of 80%, while the Marble Bar project is fully-owned by the company. The stake was acquired for up to A$33m ($23.74m) from Breaker Resources in December 2021.
The capital raising is expected to help the company expedite its exploration programmes and associated study work pertaining to the two lithium projects. It was carried out at A$1.35 ($097) per share.
As part of the placement, Suzhou TA& A Ultra Clean Technology will be issued 3.2 million new shares of Global Lithium Resources for an investment of A$4.3m ($3m).
Suzhou TA& A Ultra Clean Technology, which is the controlling shareholder of Yibin Tianyi Lithium Industry, will maintain its stake of 9.9% in Global Lithium Resources through the new investment.
Global Lithium Resources non-executive chair Warrick Hazeldine said: “As Global Lithium continues to advance our growth strategy with a significant West Australian lithium portfolio in Tier-1 locations, we are delighted to welcome Mineral Resources as a cornerstone investor in this capital raising.
“Alongside Suzhou TA&A, who continues to maintain their 9.9% stake, the Board is very excited about the depth of knowledge and lithium industry experience within the Company and through its key stakeholders.”