Alara Resources Opens $3.84 Million Entitlement Offer at 3.2 Cents Per Share

Entitlement Offer Opens to Eligible Shareholders

Alara Resources Limited (ASX:AUQ) has officially opened a pro-rata non-renounceable entitlement offer to raise up to AUD 3.84 million before expenses. Eligible shareholders received their prospectus and entitlement acceptance forms on 16 July 2026, with the offer set to close on 13 August 2026, subject to extension. The offer price is set at 3.2 cents per new share.

The entitlement offer allows shareholders to subscribe for three new shares for every 20 shares held as of 5:00pm AWST on 13 July 2026. Shareholders who fully subscribe to their entitlement may also apply for additional shortfall shares, which will be allocated on a pro-rata basis. An investor shortfall offer will also be conducted by invitation only.

Use of Proceeds Focused on Exploration and Working Capital

Proceeds from the entitlement offer will primarily fund ongoing exploration activities at Alara’s key Oman projects, including Block 22B, Block 8, and Daris. The company also intends to allocate funds towards general working capital, corporate, operating, and marketing costs, as well as expenses related to the offer itself.

This capital raise aligns with Alara’s strategy to advance its copper exploration and production footprint in Oman, complementing steady operational progress at its Al Wash-hi Majaza mine and concentrate production facility. The company’s mission remains to grow into a mid-tier minerals producer through low-cost, sustainable operations.

Underwriting and Shareholder Approval Conditions

The entitlement offer is lead managed by GBA Capital Pty Ltd and partially underwritten by Alara’s major shareholder, Al Tasmin Infrastructure LLC (ATI), subject to shareholder approval. ATI’s underwriting commitment is capped at approximately AUD 1.6 million, with the issue of shortfall shares to ATI and other commitments requiring approval at the forthcoming general meeting scheduled for 7 August 2026.

New shares issued under the offer will rank equally with existing ordinary shares from the date of issue. The company cautions that the entitlement offer is non-renounceable, meaning entitlements cannot be traded or sold, and any unexercised entitlements will lapse, resulting in dilution for shareholders who do not participate.

Key Dates and Participation Details

The offer timetable is indicative, with key dates including the record date for entitlements on 13 July, offer closing on 13 August, and anticipated share issue on 20 August 2026. Shares issued under the entitlement and shortfall offers are expected to commence trading on the ASX on 21 August, subject to approval.

Eligible shareholders are those registered with a registered address in Australia, Saudi Arabia, Oman (reverse solicitation only), India, China (institutional investors only), United Arab Emirates (excluding financial zones), New Zealand, and other approved jurisdictions. Shareholders outside these regions or in the United States are ineligible to participate.

Participation can be completed online via the Automic Investor Portal or by requesting paper forms from the share registry. The company encourages shareholders to read the prospectus carefully and seek professional advice before deciding.