Latin American-focused junior St George Mining has ducked into a trading halt, ahead of capital raise believed to be in the vicinity of $40 million.
Latin American-focused junior St George Mining ducked into a trading halt on Thursday, ahead of capital raise believed to be in the vicinity of $40 million.
Proceeds from the raise would be allocated towards the company’s flagship Araxá niobium and rare earth elements project in the Brazilian state of Minas Gerais.
It is the second major placement undertaken by John Prineas-chaired St George this year, having undertaken a $20 million capital raise in January, ahead of its acquisition of the project.
Since then, the junior has turned the screws further in a bid to be a long-term sustainable producer of rare earth elements and niobium outside of China.
In August, St George told the market it had secured a dual listing on the Frankfurt Stock Exchange, as it saw an opportunity to secure greater access to European investors a key component of its ambitions at Araxá.
Earlier this week, the junior also confirmed its partnership with Brazil’s Federal Centre for Technological Education, in relation to a new pilot plant.
During the announcement, Mr Prineas said the commissioning of the pilot plant, coupled by downstream collaboration, were both significant milestones for the company, in relation to its mine-to-market operation.
In conversation with Business News earlier this year, Mr Prineas spoke about the benefits of operating in Minas Gerais, an established pro-mining region.
