Enova Raises $1.5M via 428 Million Shares at $0.0035 Each for Project Growth

Placement Details and Structure

Enova Mining Limited (ASX: ENV) has successfully secured firm commitments for a placement raising $1.5 million before costs. The capital raise involves issuing up to 428.5 million fully paid ordinary shares at an issue price of $0.0035 per share. The placement is structured in two tranches: the first tranche of approximately 246.2 million shares will be issued on 29 January 2025, while the second tranche of up to 182.3 million shares is contingent upon shareholder approval at an extraordinary general meeting (EGM) scheduled for the second half of March 2025.

In addition to the shares, participants in the placement will receive one free attaching listed option for every share subscribed. These options carry an exercise price of $0.012 and expire on 29 December 2028, subject to shareholder approval. Lead broker GBA Capital Pty. Ltd. will also receive 10 million listed options under the same terms.

Strategic Allocation of Funds

The funds raised will be strategically deployed to advance Enova’s critical mineral projects and support general working capital needs. A significant portion is earmarked for metallurgical test work and engineering studies at the CODA project in Minas Gerais, Brazil, and the Charley Creek project in the Northern Territory, Australia.

At CODA, recent exploration has highlighted a world-class opportunity with extensive rare earth element (REE), scandium, and titanium mineralisation over a 10 square kilometre area starting from surface. The funding will enable sighter leaching tests and validation work to refine extraction methodologies, alongside shallow drilling programs to delineate mineralisation at CODA Central and East prospects.

Exploration at the Lithium Valley tenements in Brazil will continue, supported by geochemical sampling and field assessments guided by hyper-spectral imaging data. This approach aims to identify pegmatite targets for lithium and other critical minerals.

Charley Creek remains a large-scale alluvial mineral sands project with ongoing process optimisation work conducted by IHC Brisbane. The focus is on improving heavy mineral recovery consistency through laboratory testing and updating the project’s scoping study.

Broader Growth and Operational Outlook

Beyond current projects, approximately $500,000 of the placement proceeds will be allocated to researching and evaluating new tenement opportunities, reflecting Enova’s ambition to expand its portfolio of critical mineral assets. The remaining funds will cover administrative costs and working capital for up to 12 months, ensuring operational continuity.

Enova’s management underscores the importance of metallurgical and engineering work as pivotal to advancing CODA and Charley Creek towards commercial development. The company anticipates completing this technical phase within six months, which could set the stage for further resource definition and project advancement.

With the first tranche settlement imminent and the second tranche pending shareholder approval, Enova is positioned to accelerate its exploration and development activities in two continents, reinforcing its commitment to critical minerals essential for a sustainable future.