Australian Critical Minerals has raised $3 million through a heavily oversubscribed placement to fund maiden drilling at its promising Flint Gold-Silver Project in Peru.
- Placement raised $3 million at $0.075 per share
- Strong demand including cornerstone investment from Terra Capital Funds
- Funds allocated to maiden diamond drilling program at Flint Project
- Flint Project located in a major epithermal gold-silver belt in northern Peru
- Placement to be completed in two tranches, second tranche requires shareholder approval
Funding Boost for Exploration
Australian Critical Minerals Ltd (ASX, ACM) has successfully secured $3 million through a share placement, underscoring strong investor confidence in its exploration portfolio. The placement, priced at 7.5 cents per share, was heavily oversubscribed and attracted participation from sophisticated investors, including a cornerstone commitment from Terra Capital Funds, a leading Australian resource fund manager.
Focus on Flint Gold-Silver Project
The funds will primarily support the company’s maiden diamond drilling program at the Flint Gold-Silver Project in northern Peru. Flint is an undrilled high-sulphidation epithermal system situated within a prolific gold-silver belt near Trujillo. Recent geophysical surveys have identified promising resistive anomalies and conductors that align with surface geochemistry, suggesting a compelling exploration target.
With permits now in place, ACM plans to commence drilling this quarter, targeting four holes totaling 1,850 metres. Executive Chairman Dean de Largie highlighted the project’s potential, noting its location amid globally significant deposits and the opportunity to unlock value through disciplined exploration.
Placement Structure and Next Steps
The $3 million placement will be executed in two tranches. The first tranche, comprising approximately 26.7 million shares, is expected to settle in early February under the company’s existing placement capacity. The second tranche, about 13.3 million shares, awaits shareholder approval at a general meeting scheduled for March 16, 2026.
Sandton Capital Advisory Pty Ltd acted as lead manager for the placement, earning a 6% fee and potential options subject to shareholder approval. The company intends to apply the proceeds not only to exploration but also to general working capital, ensuring operational flexibility as it advances its projects.
Strategic Implications
This capital raise marks a significant step for Australian Critical Minerals as it moves from exploration towards potential resource definition. The involvement of a respected fund like Terra Capital Funds adds credibility and may attract further institutional interest. However, the success of the drilling program will be critical in validating the project’s prospects and driving future value creation.
Bottom Line?
With funding secured and drilling imminent, all eyes will be on Flint’s maiden drill results to chart Australian Critical Minerals’ next growth phase.
Questions in the middle?
- What initial results will the maiden drilling at Flint reveal about the project's potential?
- How will shareholder approval impact the timing and scale of the second tranche of the placement?
- Could further institutional investors be attracted following the involvement of Terra Capital Funds?