Australian heavy rare earths producer Northern Minerals (ASX: NTU) has provided an update the market in relation to the Company’s $30 million placement and announced a further issue of securities.
The Company is pleased to announce that further to recent announcements in relation to the Placement, the Company has received a further $500,000 in subscription funds. Accordingly, the Company has issued 8,064,516 shares to the relevant subscribers, all of which have been issued under the Company’s placement capacity under Listing Rule 7.1.
The total amount raised to date under the Placement is approximately $23.1 million (before costs). The balance of approximately $6.9 million in subscription funds were not received by the due date of 31 October 2019 but the Company has subsequently agreed to extend the completion date for those subscribers to 30 November 2019.
Exercise of performance rights
A total of 598,000 fully paid ordinary shares have been issued as a result of the exercise of performance rights which vested when performance conditions relating to key performance indicators regarding occupational health and safety, production levels and quality of product produced and shipped from the Browns Range Pilot Plant were satisfied.
These shares were issued under Listing Rule 7.2, exception 9 and the issue is not conditional on receipt of shareholder approval.