Firering Strategic Minerals (LON: FRG) is planning to raise £680,000 at 6.5p/share and this will be used by the AIM-quoted company to define identified pegmatite targets through a drilling campaign at the Atex lithium-tantalum project in Cote d’Ivoire.
Uses for the cash include 3,000 metres of reverse circulation drilling to increase the understanding of the new six pegmatites identified and Laser Induced Breakdown Spectrometry soil sampling. There will also be some cash to finance a team of technical experts for the owner of a limestone project in Zambia, where Firering Strategic Minerals has an option to acquire up to 28.3%. The crushing system has already been commissioned. This project should generate cash within 24 months.
Firering Strategic Minerals holds 90% of the company that owns the Atex project. Firering Strategic Minerals also owns 75% of Bri Coltan, which owns the coltan rights for the Atex area. Coltan is composed of tantalum, niobium, iron and manganese.
Part 1 of the phase II drilling campaign has been completed. This has been done in partnership with Ricca Resources. Nine target areas have been identified, including the six newer ones. The latest drilling is planned for the fourth quarter of 2023.
When it floated in November 2021, Firering Strategic Minerals raised £4m at 13p/share. The placing was announced after the market closed and the share price was 6.75p.
