Macarthur Minerals Limited (TSX VENTURE: MMS) has told DirectorsTalk that it has closed the previously announced non-brokered private placement (the “Offering”) for aggregate gross proceeds of CAD$300,000 for 15,000,000 units (each, a “Unit”) at a price of CAD$0.02 per Unit (“Unit Price”) to Rare Earth Minerals Plc (AIM: REM, OTC: REMMY) (“Rare Earth Minerals”). The Unit Price is equal to the closing price of the Company’s TSX Venture Exchange listed shares on February 3, 2016, the date the Company announced the Offering.
Each Unit is comprised of one common share in the capital of the Company (each, a “Common Share”) and one whole warrant to acquire a Common Share (each, a “Warrant”) at an exercise price of CAD$0.05 per Common Share for a period of twelve months from the date of issuance.
The Company obtained approval from the TSX Venture Exchange to waive the CAD$0.05 minimum pricing requirement in accordance with TSX Venture Exchange bulletin dated April 7, 2014 “Discretionary Waivers of $0.05 Minimum Pricing Requirement“.
The net proceeds from the Offering will be used for working capital and to further advance the development of lithium exploration licenses, which are under application, in the eastern Pilbara region of Western Australia. These licenses were applied for as a result of the desktop review carried out by CSA Global. The securities issued pursuant to the Offering will be subject to a statutory 4 month plus one day hold period from the date of issuance.
The issuance of Units are subject to the approval by the Foreign Investment Review Board (“FIRB”) in Australia.
Upon closing of the Offering, Rare Earth Minerals will own approximately 15.5% of the Company’s issued and outstanding shares on an undiluted basis.
ABOUT RARE EARTH MINERALS (AIM: REM, OTC: REMMY)
Rare Earth Minerals Plc is a London and New York listed Investment Company focused on creating a diverse portfolio of direct and indirect interests in lithium and rare earth element deposits. Rare Earth Minerals’ investment strategy is to acquire a diverse portfolio of direct and indirect interests in exploration and development projects and assets.
Rare Earth Minerals has a significant stake in Bacanora Minerals Ltd (TSX-V, AIM: BCN), and has joint ventures with Bacanora which cover part of the Sonoroa Lithium Project in Northern Mexico.
Rare Earth Minerals also has an investment in European Metals Holdings Limited (ASX, AIM: EMH) that owns the exploration rights to one of the most significant lithium deposits in Europe, the Cinovec Lithium Deposit. Further, Rare Earth Minerals has an investment in Western Lithium USA Corporation (TSX: WLC, OTCQX: WLCDF), which owns the Kings Valley Lithium Project in Nevada and the Cauchari — Olaroz Project in Argentina. Rare Earth Minerals also has strategic investments in other rare earth projects in Australia and Greenland.
