GT1 Raises A$11M to Advance Seymour Lithium Project DFS and Permitting

Capital Raise to Propel Seymour Lithium Project

Green Technology Metals Limited (ASX:GT1) has announced an A$11 million recapitalisation designed to advance its flagship Seymour Lithium Project in Ontario, Canada. The raise comprises a A$7 million two-tranche placement and a fully underwritten A$4 million entitlement offer, aimed at funding the completion of the Definitive Feasibility Study (DFS), permitting, approvals, and financing necessary to reach a Final Investment Decision (FID).

This injection of capital comes as the lithium market recovers from the lows of 2024 and 2025, with rising EV demand and battery manufacturing investment underpinning a stronger pricing outlook. GT1’s Managing Director Cameron Henry highlighted the strategic timing, noting the project’s strong positioning within a jurisdiction benefiting from robust government support for critical minerals.

Placement and Entitlement Offer Details

The placement will issue 350 million new shares at A$0.02 each, split into an initial tranche of 80 million shares and a second tranche of 270 million shares subject to shareholder approval at an Extraordinary General Meeting (EGM) expected mid-June. Directors John Young and Patrick Murphy have committed approximately A$170,000 to the placement and intend to fully participate in the entitlement offer, which allows eligible shareholders to subscribe for four new shares for every thirteen held.

Joint lead managers Canaccord Genuity, Yelverton Capital, and Foster Stockbroking will underwrite the entitlement offer and receive a mix of cash fees and broker options, subject to shareholder approval. The entitlement offer is non-renounceable, ensuring existing shareholders have an equitable opportunity to maintain their holdings.

Advancing DFS and Permitting Amid Project Optimisation

GT1 plans to complete the DFS by early Q4 2026, incorporating significant project optimisation work that has already delivered a 45% reduction in the project footprint and meaningful capex savings. The revised water management strategy alone has materially reduced environmental impact and capital costs, strengthening the project's development case. This optimisation effort positions Seymour as one of the lowest capex lithium projects listed on the ASX.

Permitting progress is well advanced, with the key outstanding milestone being the submission of the Mine Closure Plan to the Ontario Ministry of Mines by November 2026. This plan, developed in consultation with Indigenous groups and government authorities, is critical for securing final permits and clearing the way to FID.

The company is also exploring the potential inclusion of the adjacent Junior project to extend mine life and meet financing requirements. Discussions continue with Canadian government bodies regarding grant funding to support DFS costs and Indigenous consultation, though no binding agreements have been reached yet.

Strengthening Governance and Incentives

In line with its transition from explorer to developer, GT1 is undertaking an executive search to bolster its board with individuals experienced in Canadian project development, financing, and regulatory navigation. The new appointments will have performance-based equity incentives aligned with delivering shareholder value, complementing a proposed equity incentive program for existing and incoming board and management members. This program includes up to 19.5 million performance rights subject to share price and service milestones, pending shareholder approval.

Clear Pathway to Production by 2028

The updated project schedule targets first ore in the first half of 2028, following the completion of permitting, financing, and early construction activities. Pre-construction work, front-end engineering design, and procurement are slated for early 2027, with construction commencing later that year. This timeline reflects a realistic progression accounting for additional consultation and regulatory requirements encountered during project optimisation.

GT1’s strategy and funding plans build on recent developments, including the extension of a C$100 million conditional financing letter of interest from Export Development Canada and prior capital raises that have supported DFS advancement and footprint reduction. The company’s focus on Indigenous partnerships and sustainable development further aligns with regulatory expectations and community engagement in Ontario.

With the lithium market showing signs of recovery and government backing intensifying, GT1’s recapitalisation and strengthened governance set the stage for advancing the Seymour Lithium Project from feasibility to production.

Investors will be watching the upcoming shareholder meeting for approval of the second tranche of the placement and the proposed incentive schemes, as well as progress on government funding discussions and DFS milestones.

GT1’s capital raise and project updates underscore the challenges and opportunities in developing a lithium mine in a complex regulatory environment, balancing environmental stewardship, Indigenous consultation, and market dynamics.

As the company navigates these factors, the question remains how swiftly GT1 can convert its technical and financial groundwork into tangible production amid evolving market conditions and regulatory landscapes.

Notably, the capital raise follows GT1’s recent Seymour DFS redesign cuts footprint and $4.5 million capital raise that supported earlier feasibility work. The extended C$100 million financing interest from Export Development Canada also continues to underpin the project’s financing prospects EDC extends financing interest.