5th Sep 2013 07:56
LONDON (Alliance News) - Rare Earth Minerals PLC Thursday said it has completed a share placement to fund the next step of its operations at the El Sauz and Fleur lithium concessions in Northern Mexico.
The exploration and production rare earth minerals and metals company operating in Mexico said that the placing closed on August 23 and that the USD1 million raised has gone to Bacanora Minerals who will help conduct the Stage Two programme in the El Sauz and Fleur concessions.
Rare Earth Minerals also said that as part of the agreement, its equity in the Bacanora subsidiary MEXILIT SA de CV, which owns the concessions, will increase to 30% on receipt of the funds by Bacanora.
The company said it expects to make an announcement when the company formally receives its entire earned interest, and an update on its upcoming drilling programme will be announced in the near future.
"This payment will allow our joint-venture partner to plan and execute a much larger drilling programme in Mexico with the certainty of funding from REM," Company Chairman David Lenigas said in a statement.
The company shares were slightly off Thursday at 0.920 pence in early trading, but the company's shares are about 22 times the value they were a month ago after a string of good news about the Mexico lithium project.
By Tom McIvor; [email protected]; @TomMcIvor1
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