Tim Harrison
ASX-listed Ionic Rare Earths (IonicRE) has received firm commitments to raise $5.5-million, before costs, by way of a share placement of about 423-million shares.
The placement includes participation of $500 000 from IonicRE chairperson Brett Lynch, further to his recent $1.5-million investment on joining the company in January.
The funds raised will support advancing subsidiary company Ionic Technologies’ magnet recycling technology and enhancements to its magnet recycling demonstration plant, currently producing separated magnet rare earth oxides in Belfast, in the UK, along with the completion of a feasibility study for a full-scale plant, which is expected to be completed by midyear.
Moreover, it will support advancing offtake and financing discussions presently under way at the Makuutu ionic adsorption rare earths project, in Uganda, where a demonstration plant is producing mixed rare earth carbonate (MREC), which will be evaluated by several parties to advance offtake negotiations.
“We have received such a significant amount of interest from various magnet manufacturers, alloy makers and original-equipment manufacturers who are interested in utilising our world-class magnet rare earth recycling technology for access to secure, sustainable and traceable rare earth supply. Demand at our operational demonstration plant in Belfast is now full for the next 18 months with potential partner trials advancing to plan.
“Further, our upstream project, the Makuutu rare earth project, is also advancing well with several offtake negotiations with partners who will be evaluating our MREC being produced at the Makuutu demonstration plant. We are on the verge of a tangible increase in shareholder value. We greatly appreciate the support of existing shareholders with funding this placement,” says MD Tim Harrison.