On 24th May 2021, Australian Bauxite Limited announced that it had raised AUD 3.25 million from new institutional and sophisticated investors and directors through a fully subscribed share placement with attaching options.
Australian Bauxite’s Tasmanian aluminium fluoride production plans and an ongoing scout for rare earth elements in the state's north have received solid backing from the investors.
Ian Levy, the Managing Director and CEO, said: "We are delighted with the support for the placement from our directors, existing shareholders and new investors."
"With the proceeds of this capital raise, ABx (Australian Bauxite) is now well funded to support the development of the aluminium fluoride pilot plant by its subsidiary, Alcore, and continue its investigation of rare earth elements."
The fresh funding would also be injected towards continued bauxite exploration and mine development of Australian Bauxite mines near Campbell Town and has other deposits in Tasmania, Queensland and New South Wales.
ABx plans to invest AUD 1.5 million from the placement into 87% owned Alcore and would complete its aluminium fluoride pilot plant, expected to be built in New South Wales. It will be counted as Australia’s first production of aluminium fluoride and which is crucial for aluminium smelters, as presently the nation is dependent on overseas supply, while key exporter China declined recently.
Australian Bauxite said: “Chinese aluminium fluoride sales to Australia had been reduced to zero. Australasia must become self-sufficient in aluminium fluoride to avoid smelter closures.”
Responses
