Pursuit raises $1.1m for Argentinian lithium project

• PUR raises $1.1m via oversubscribed placement at 6c per share
• Company directors to participate pending shareholder approval
• Funds will advance Rio Grande Sur pilot plant and strategic acquisitions

Special Report: Pursuit Minerals has raised $1.1m from sophisticated and professional investors via a placement at 6c per share to advance development of its Rio Grande Sur lithium project in Argentina.

The funds will accelerate the ongoing development of the project, with a key focus on advancing Pursuit Minerals’ (ASX:PUR) 250tpa pilot plant towards first lithium carbonate production, which is already underway. 

Pursuit managing director and CEO Aaron Revelle and recently appointed non-executive director Stephen Layton have committed a combined $70,000 to the placement subject to shareholder approval at the forthcoming Extraordinary General Meeting (EGM).

“Pursuit is delighted with the strong support for the placement, which will provide critical funding to advance high-value work programs at our Rio Grande Sur Lithium Project in Argentina,” Revelle said. 

“With our 250tpa pilot plant progressing towards first lithium carbonate production, we are also advancing off-take discussions and feasibility studies to further unlock project value.”

The issue price represents a 20% discount to last close of 7.5c. PUR also plans to issue 9,166,667 new options with an exercise price of 9c subject to shareholder approval for a number of share issues including to directors.

Watch: Charging ahead in Argentina’s lithium game

Argentinian acquisitions on the agenda

In parallel, Pursuit is actively evaluating high-potential project acquisitions, particularly in Argentina, to further strengthen its asset portfolio and create additional value. 

It’s the perfect time to capitalise on Argentina’s dynamic mining sector, with strong government support boosting the country’s growing appeal as a hub for lithium investment, driving long-term growth and maximising value for shareholders. 

“With gold and copper prices remaining strong, we are actively assessing strategic acquisitions in Argentina that complement and enhance our portfolio,” Revelle said.

“The region’s favourable mining jurisdiction, growing lithium investment, and government incentives provide a strong foundation for long-term growth.”

Argentina’s business friendly RIGI investment rules, intended to pull in foreign investment for large projects, have been cited as key factors in a wave of M&A that has swept over the South American nation’s mining sector.

BHP notably paid ~US$3bn for half stakes in the Josemaria and Filo Del Sol copper projects in the Vicuna region, while Rio Tinto is now the owner of Arcadium Lithium after closing a $10bn deal to acquire the owner of the El Fenix and Olaroz brine operations.

That has put other brine projects in Argentina like Pursuit’s Rio Grande Sur on the map, with strategic interest in the country’s low cost resources still high.

This article was developed in collaboration with Pursuit 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.