PMET Resources has announced a significant capital raise of up to C$130 million through a public offering and a flow-through private placement to advance its Shaakichiuwaanaan critical minerals project in Quebec. The funds will support updated feasibility studies and exploration, aiming to de-risk the path to a Final Investment Decision.
- Up to C$130 million raised via public offering and flow-through private placement
- Funds to support updated feasibility study including tantalum as a co-product
- Advancement of CV13 pegmatite towards preliminary economic assessment
- Volkswagen intends to participate with up to C$14 million in a separate placement
- Financing aims to de-risk funding towards Final Investment Decision by end 2027
Capital Raise to Accelerate Critical Minerals Project
PMET Resources Inc. has announced plans to raise up to C$130 million through a combination of a public offering and a flow-through private placement. This capital injection is designed to bolster the company’s balance sheet as it advances the Shaakichiuwaanaan project, a district-scale critical minerals asset located in Quebec, Canada.
The financing package includes a public offering of common shares expected to raise approximately C$65 million at C$5.66 per share, alongside a flow-through private placement targeting C$65 million at a premium price of C$9.30 per share. The flow-through shares offer Canadian investors tax incentives linked to qualifying exploration expenditures, enhancing the appeal of the placement.
Strategic Use of Proceeds and Project Milestones
Proceeds from the financings will primarily fund an updated and optimised feasibility study for the CV5 pegmatite, incorporating tantalum as a valuable co-product alongside lithium. Additionally, PMET plans to advance the CV13 pegmatite towards a preliminary economic assessment, which will include lithium, caesium, and tantalum, further broadening the project’s critical minerals portfolio.
These developments aim to unlock the full value of the Shaakichiuwaanaan property, which already hosts the largest lithium pegmatite resource in the Americas and the world’s largest pollucite-hosted caesium deposit. The company is targeting a Final Investment Decision by December 31, 2027, with this financing round significantly de-risking the path to that milestone.
Strong Institutional Demand and Volkswagen’s Support
Investor interest has been robust, drawing participation from both existing and new institutional, professional, and sophisticated investors across North America and Australia. Notably, Volkswagen, PMET’s largest shareholder holding approximately 9.55%, has signalled its intention to participate in a separate private placement of up to C$14 million, subject to internal approvals. This move underscores Volkswagen’s strategic alignment with PMET’s ambition to become a leading North American critical minerals supplier.
PMET’s CEO, Ken Brinsden, emphasised the transformational nature of this financing, highlighting the company’s disciplined approach and the growing confidence in the project’s scale and quality. He also pointed to the strong recovery in lithium prices as a favourable backdrop for the company’s development plans.
Next Steps and Market Positioning
The Offerings are expected to close around February 19, 2026, subject to customary regulatory approvals. Upon completion, PMET will be well-positioned to advance key engineering studies, expand its resource base, and engage with potential off-take and strategic partners. The company’s focus on integrating multiple critical minerals into its development plan reflects a strategic effort to maximise project value and market relevance amid rising global demand for battery and technology metals.
Bottom Line?
PMET’s successful capital raise sets the stage for critical milestones ahead, but investor eyes will remain on Volkswagen’s final commitment and regulatory approvals.
Questions in the middle?
- Will Volkswagen’s anticipated C$14 million participation proceed as planned?
- How will the inclusion of tantalum and caesium impact the project’s economic viability?
- What are the key risks that could delay the Final Investment Decision targeted for 2027?