Perpetual Resources Secures $500K to Launch Lithium Drilling in Brazil
Perpetual Resources has raised $500,000 through a strongly supported placement to fund its maiden lithium drilling campaign at the Igrejinha Project in Brazil, following high-grade assay results that have boosted investor confidence.
- Raised $500,000 via placement to professional and sophisticated investors
- Placement shares issued at $0.013, a 13.3% discount to last close
- Strong demand led to allocation scale-backs, signaling investor confidence
- Maiden lithium drilling program at Igrejinha scheduled to start early June 2025
- Recent assays showed high-grade spodumene and caesium results exceeding detection limits
Funding Secured for Key Exploration Phase
Perpetual Resources Ltd (ASX: PEC) has successfully raised $500,000 through a placement of over 38 million shares priced at $0.013 each. The capital raising attracted strong demand from professional and sophisticated investors, resulting in allocation scale-backs. This robust support underscores market confidence in Perpetual’s upcoming maiden lithium drilling program at the Igrejinha Project, located in Brazil’s Lithium Valley.
Backing from Recent High-Grade Assay Results
The placement follows encouraging assay results announced earlier this month, which revealed exceptionally high grades of spodumene and caesium mineralisation. Notably, samples INGR004 and INGR006 both hit the maximum detection limit for lithium oxide at 5.38%, while INGR002 surpassed 5.3% for caesium oxide. These findings have provided a strong technical foundation for the upcoming drilling campaign, heightening investor interest and confidence.
Drilling Program and Next Steps
Perpetual is nearing finalisation of its drill contractor selection, with the maiden campaign targeting high-priority lithium zones set to commence in early June 2025. The company has also completed an extensive soil and auger sampling program adjacent to mineralised pegmatite zones, with assay results expected in the first half of May. These forthcoming results will be critical in refining drill targets and advancing the project’s exploration potential.
Placement Details and Use of Funds
The placement shares were issued without shareholder approval under ASX Listing Rules 7.1 and 7.1A, at a 13.3% discount to the last closing price of $0.015. GBA Capital Pty Ltd acted as Sole Lead Manager, receiving fees in shares and options, aligning their interests with Perpetual’s growth. The proceeds will primarily fund the drilling campaign, enabling Perpetual to aggressively advance its lithium exploration activities in Brazil.
Outlook and Market Implications
Executive Chairman Julian Babarczy highlighted the significance of this capital raising, noting that the company is entering an exciting phase of growth. With drilling imminent and further assay results pending, Perpetual is positioning itself to unlock value from its highly prospective Brazilian lithium portfolio. The market will be watching closely as the company delivers on its exploration milestones throughout 2025.
Bottom Line?
Perpetual’s successful capital raise sets the stage for a pivotal drilling campaign that could redefine its lithium prospects.
Questions in the middle?
- Will the upcoming drilling results confirm the high-grade lithium potential indicated by recent assays?
- How will further soil and auger assay results influence Perpetual’s exploration strategy?
- What impact will the placement dilution have on shareholder value if drilling success is delayed or limited?
