ASX-listed Jindalee Resources will raise A$5.5-million to advance its McDermitt lithium project, in Oregon.
The company on Monday told shareholders that it would issue up to 3.93-million shares at a price of A$1.40 each to raise the funds, with the capital raising to include a priority offer of up to 1.43-million shares to existing shareholders, and a public offer of 2.5-million shares to invited investors.
The shares will be issued under the company’s existing placement capacity and will not require shareholder approval.
Funds raised will go towards exploration and metallurgical test work at the McDermitt project, which is the largest lithium deposit in the US by contained lithium, with 21.5-million tonnes of lithium carbonate equivalent in mineral resource.
Funds will also go towards advancing the prefeasibility study at the project, and to conduct heritage and environmental studies.
