Andromeda Metals has raised nearly $1 million through a Share Purchase Plan, bringing total recent capital to almost $14 million to advance its Great White and HPA projects.
- Raised $996,000 via Share Purchase Plan at $0.0175 per share
- Total funds raised now $13.996 million before costs including recent placement
- Funds allocated to environmental compliance, early site works, and equipment procurement
- Early construction activities at Great White Project to begin imminently
- Shareholders to receive free attaching options pending approval
Capital Raise Boosts Project Momentum
Andromeda Metals Limited (ASX – ADN) has successfully raised $996,000 through its recent Share Purchase Plan (SPP), priced at 1.75 cents per share. This latest injection brings the total capital raised from both the SPP and a preceding placement to nearly $14 million before costs, a significant milestone for the company’s ambitious Great White and High Purity Alumina (HPA) projects.
The funds are earmarked for critical early-stage activities, including meeting environmental compliance obligations, initiating early site works, and procuring key equipment. These steps are essential to maintain the project’s development timeline and reduce execution risks.
Advancing the Great White Project
With the capital secured, Andromeda is poised to commence early works at the Great White site imminently. Planned activities include onsite surveys, construction of the mine access road, bulk earthworks for the Stage 1A+ processing plant, and drilling programs to refine grade control and geotechnical data. These foundational efforts are critical to preparing the site for full-scale development.
Additionally, the company is finalizing engineering designs for processing and water infrastructure, while arranging insurance and transporting long-lead equipment items fabricated overseas. These logistics underline the company’s commitment to maintaining momentum and meeting project milestones.
Incentives and Funding Outlook
Participants in the SPP will receive three free attaching options for every five shares allocated, subject to shareholder approval at the upcoming General Meeting scheduled for 10 December 2025. These options, exercisable at 2.6 cents each and valid for two years, offer investors additional upside potential as the projects progress.
Despite this positive funding development, Andromeda’s Acting CEO Sarah Clarke highlighted that discussions continue to secure the remaining capital necessary for a final investment decision. This underscores that while the company has made significant strides, the path to full project financing and construction remains a work in progress.
Overall, the successful capital raise and imminent commencement of early works mark a pivotal phase for Andromeda Metals, signaling tangible progress toward unlocking value from its mineral assets.
Bottom Line?
Andromeda’s funding success sets the stage for early construction, but securing full project finance remains critical.
Questions in the middle?
- What is the timeline and likelihood for securing the remaining funding needed for final investment?
- How will the market respond to the dilution from the new shares and attaching options?
- What are the key risks that could delay or disrupt the Great White Project’s development?