14th Jul 2025 15:50
(Alliance News) - First Class Metals PLC on Monday said it has partnered with digital asset infrastructure firm Valereum PLC to explore tokenised funding for mineral projects.
The London-listed gold and critical metals explorer in Ontario said the memorandum of understanding has set out a framework through which both companies can evaluate the potential for applying regulated tokenisation to fund projects within First Class Metals's asset portfolio.
The initiative aims to create a digital pathway for project-level funding, rather than traditional equity investment.
Tokenisation involves converting the value of physical assets into digital tokens that can be traded on a blockchain, which is a secure and transparent digital ledger. This makes normally illiquid assets more accessible, and offers alternative ways to raise capital without diluting shareholder stakes.
Specific project selection remains "under review", First Class Metals said, with further announcements due once assets are formally identified. The partnership is non-binding, and there is no certainty any transaction or investment will take place.
First Class Metals emphasised that it still remains "committed to its fundamental identity" as a mineral resource exploration company.
"This collaboration represents a bold, forward-thinking approach to unlocking the value of our highly prospective portfolio while preserving shareholder value at the PLC level," said First Class Metals Chair James Knowles.
"By partnering with Valereum, a recognised innovator in regulated digital assets, we are positioning First Class Metals at the forefront of responsible, modern exploration finance. This has the potential to reshape how mineral projects like ours are funded, developed, and ultimately delivered."
Shares in First Class Metals were down 2.4% at 2.05 pence in London on Monday afternoon. The stock is down 18% over the past year.
By Emily Parsons, Alliance News reporter
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