Impact raises $4m to accelerate PFS at Lake Hope HPA project
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Impact Minerals has received firm commitments to raise $4,000,000 via a placement at 1.2 cents per share – including $3.25 million from its two largest shareholders, the Bunnenberg Family Office and ABC Beteiligungen.
The funds will be used to accelerate the development of the advanced Lake Hope High Purity Alumina (HPA) project in Western Australia which recently the company announced it had the option to acquire an 80% interest in by completing a Pre-Feasibility Study on the project.
The project contains globally unique high-grade aluminium clay minerals in the top few metres of a playa lake, which has unique physical and chemical properties that allow for low-cost mining and offsite metallurgical processing via a novel and cost-disruptive acid leaching process.
Preliminary economic studies indicate that the production of HPA from Lake Hope will be cost-competitive with current producers and other developers in Australia and globally.
Along with the PFS the company plans to complete a maiden resource estimate by the end of this quarter and will submit a mining lease application the following quarter.
Impact Minerals (ASX:IPT) MD Dr Mike Jones said the backing of major shareholders was a “resounding vote of confidence” in the company’s decision to enter the HPA market.
“Since announcing the acquisition, our work has confirmed the project’s significant potential, and we have now exercised the option to earn an 80% interest by completing a Pre-Feasibility Study,” he said.
“With the new funds, we can now accelerate this study and also produce final products that can be provided to potential customers for qualification testing.
“We have already made considerable strides in advancing the project, with just the final set of assays for the recently completed infill drilling left to complete our maiden resource estimate by the end of this quarter.
“We then intend to submit a mining lease application in the next quarter in tandem with the feasibility studies.
“We are forging ahead at full speed, and these funds will allow us to maintain our momentum.”
Following completion of the placement, the company will have a cash balance of approximately $5 million.
This article was developed in collaboration with Impact Minerals, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.