Burley to Issue 18.8M Shares and 9.4M Options After $1.1M Capital Raise
Burley Minerals has successfully closed a significantly oversubscribed entitlement offer, raising more than $1.1 million to advance its iron ore and lithium projects in Australia and Canada.
- Entitlement offer and placement raised over $1.1 million
- Approximately 18.8 million new shares and 9.4 million free attaching options to be issued
- Strong shareholder and director support for the capital raise
- Funds to support exploration at Cane Bore Iron Project and Chubb Lithium Project
- Assay results from recent Cane Bore drilling expected in early June 2025
Capital Raise Success
Burley Minerals Limited (ASX: BUR) has announced the successful closure of its non-renounceable pro-rata entitlement offer, which was significantly oversubscribed. The combined entitlement offer and placement raised over AUD 1.1 million in gross proceeds, reflecting strong confidence from existing shareholders and company directors. This capital injection is a critical step for Burley as it continues to advance its exploration projects in Western Australia and Quebec.
Details of the Offer
The entitlement offer closed on 9 May 2025, with eligible shareholders applying for approximately AUD 336,000 worth of new shares. Additionally, the shortfall offer, which allowed shareholders to apply for shares beyond their entitlement, attracted further strong support, raising nearly AUD 228,000. In total, Burley will issue 18,796,368 new fully paid ordinary shares along with 9,398,159 free attaching options on 14 May 2025, bolstering its balance sheet for upcoming exploration activities.
Exploration Focus: Iron and Lithium
Burley’s portfolio includes the Cane Bore Iron Project in the Pilbara region of Western Australia and the Chubb Lithium Project in Quebec, Canada. The Cane Bore project recently completed its maiden drilling program, with 28 holes drilled and assay results expected in early June 2025. These results will be closely watched as they could provide significant insights into the project's potential.
Meanwhile, the Chubb Lithium Project, acquired in 2023, is strategically located near the North America Lithium operation, Canada’s only active lithium mine. The project remains highly prospective, with fertile lithium-caesium-tantalum pegmatites identified but yet to be fully tested by drilling. The fresh capital will support further exploration and development efforts at both sites.
Market and Strategic Implications
The oversubscription of the entitlement offer signals strong shareholder confidence in Burley’s growth strategy and the value of its mineral assets. With iron ore prices remaining robust and lithium demand continuing to surge globally, Burley is well positioned to capitalize on these market dynamics. The successful capital raise also provides the company with the financial flexibility to accelerate exploration and potentially unlock new resources that could enhance shareholder value.
Bottom Line?
Burley’s oversubscribed capital raise sets the stage for pivotal assay results and exploration milestones in the coming months.
Questions in the middle?
- What will the assay results from the Cane Bore drilling reveal about the project's viability?
- How will Burley prioritize the deployment of the newly raised funds across its iron and lithium projects?
- What impact will the new shares and options issuance have on Burley’s share price and investor sentiment?
