Piedmont raises $12m

Piedmont Lithium has tapped investors for $12.2 million to fund an expansion and upgrade at the company’s namesake project in the US state of North Carolina.

Under the placement, Piedmont issued the shares at 11 cents each, representing a 12 per cent discount on its last closing price.

Canaccord Genuity, Shaw and Partners, and Aitken Murray Capital Partners acted as joint lead managers to the placement.

Foster Stockbroking was co-manager and Roth Capital Partners acted as financial adviser.

In a statement to the ASX, Piedmont said the funds would go towards exploration and infill drilling to expand and upgrade the resource base at its flagship project.

The funds would also be used for permit applications, pilot-scale metallurgy, additional engineering studies, and ongoing land consolidation at the project.

Piedmont chief executive Keith Phillips said the company was pleased with the support for the placement, which was oversubscribed.

“We have an exciting year ahead and securing these funds will allow us to maintain our ambitious development timetable for what we believe to be the world’s most strategically located lithium project,” he said.

Shares in Piedmont fell 4 per cent to trade at 12 cents each at the close of trade.