Jameson Raises $3 Million at 16.7% Discount to Advance Coal Project

Strategic Capital Injection

Jameson Resources Limited (ASX, JAL) has announced a significant capital raising of up to A$3 million through a share placement to King George Investments Pty Ltd, a Brisbane-based strategic resource investor focused on steelmaking coal projects. The placement is priced at $0.06 per share, representing a 16.7% discount to the company’s last closing price, signaling a keen investor appetite despite the discount.

The placement will be executed in two tranches, an initial tranche raising A$1.5 million with 25 million new shares expected to be issued on 5 December 2025, and a second tranche of equal size subject to King George Investments exercising an option within six months. This structure provides flexibility while securing immediate funding for Jameson’s near-term objectives.

Advancing Crown Mountain

The funds raised are earmarked primarily to support the ongoing Environmental Assessment (EA) application for the Crown Mountain Hard Coking Coal Project in British Columbia, Canada. This includes continued engagement with Indigenous Nations, a critical component in the regulatory approval process, as well as administrative and project management costs related to NWP Coal Canada Limited, in which Jameson holds a majority stake.

Interim Executive Chair Michael Gray emphasized the strategic importance of this capital raise, highlighting the substantial market opportunity presented by the Crown Mountain project. He noted the May 2025 feasibility update and strong government backing from both British Columbia and Canadian federal authorities as key confidence drivers for the project’s development.

Market and Regulatory Context

Jameson’s Crown Mountain project is positioned in a prolific coal region adjacent to existing mines that supply the majority of Canada’s steelmaking coal exports. The project’s proximity to rail infrastructure connecting to export facilities further enhances its commercial viability. The recent capital raise and ongoing regulatory progress come amid a supportive environment for resource development, particularly for premium steelmaking coal, which remains in demand globally.

While the placement dilutes existing shareholders due to the discounted issue price, the strategic nature of the investor and the clear use of proceeds to advance critical regulatory milestones may mitigate concerns. The option for the second tranche also introduces some uncertainty regarding the full amount raised but reflects a measured approach by King George Investments.

Looking Ahead

Jameson’s ability to navigate the environmental assessment process and maintain strong Indigenous engagement will be pivotal in unlocking the project’s value. The capital injection provides a timely boost to these efforts, positioning the company to capitalize on the robust demand for hard coking coal in steel production.