Strickland Metals has successfully raised A$55 million through an institutional placement to accelerate exploration and advance a Pre-Feasibility Study at its Rogozna Project in Serbia.
- A$55 million raised via placement at A$0.16 per share
- Major shareholders Ibaera and Zijin Mining Group maintain or increase stakes
- Funds to support 70,000m drilling program and updated resource estimates
- Pre-Feasibility Study targeted for first half of 2027
- Placement shares to be issued in two tranches, subject to shareholder approval
Capital Raise to Accelerate Exploration
Strickland Metals Limited (ASX, STK) has successfully completed a substantial A$55 million institutional placement, issuing approximately 343.2 million shares at A$0.16 each. The capital injection is earmarked to fund an expanded drilling program and support the delivery of a Pre-Feasibility Study (PFS) for its flagship Rogozna Project in Serbia, with the PFS expected in the first half of 2027.
Strong Institutional Support
The placement attracted robust demand from both domestic and international institutional investors. Notably, major shareholder ISIHC Ltd, a subsidiary of Ibaera Capital Fund LP, participated pro-rata to maintain its 16.6% stake. Meanwhile, Zijin Mining Group increased its holding from 3.3% to 4.0% by investing A$5 million. This backing from established investors signals confidence in Rogozna’s potential and Strickland’s strategic direction.
Drilling and Resource Development Plans
The proceeds will primarily fund an additional 70,000 metres of resource and exploration drilling across key deposits within the Rogozna Project, including Shanac, Gradina, Copper Canyon, and the newly discovered Red Creek. These efforts aim to update resource estimates by late 2026, underpinning subsequent mining studies and the PFS. The company is also progressing an internal scoping study to refine project economics and development pathways.
Share Issuance and Governance
The placement shares will be issued in two tranches, the first tranche to institutional and sophisticated investors using existing placement capacity, and the second tranche to directors, subject to shareholder approval at an extraordinary general meeting scheduled for 18 March 2026. The staggered issuance reflects governance best practices and ensures alignment with shareholder interests.
Looking Ahead
Managing Director Paul L’Herpiniere emphasised the significance of the capital raise, highlighting its role in accelerating the company’s development program and expanding the resource base. With exploration continuing as a core pillar of Strickland’s growth strategy, the funds provide both operational momentum and balance sheet flexibility as the company advances toward its PFS milestone.
Bottom Line?
Strickland’s successful capital raise sets the stage for a pivotal year of exploration and study updates, with market eyes on upcoming resource results and shareholder approvals.
Questions in the middle?
- How will the expanded drilling program impact the overall resource size and grade at Rogozna?
- What are the key milestones and risks associated with the Pre-Feasibility Study targeted for 2027?
- How might the new share issuance affect Strickland’s share price and institutional ownership dynamics?