MRG Metals Limited (ASX: MRQ) has announced the successful completion of a capital raising, securing $705,000 through a placement of 352,750,000 fully paid ordinary shares at $0.002 each to sophisticated investors. This funding was undertaken within the Company’s existing 7.1 placement capacity. Subject to shareholder approval, the Board and Management have committed to contribute a further $140,000 to this placement. MRG Metals Limited is an Australian mineral exploration company primarily focused on developing rare earth and heavy mineral sands projects in Southern Africa. The company noted it is also considering an offer to shareholders, such as an Entitlement Offer or a Share Purchase Plan.
The funds raised are primarily earmarked for key development initiatives at the Garies Critical Minerals Project in South Africa. Proposed uses include completing the Garies Mining Licence Application, undertaking resource expansion drilling at the Drilltarg Target, and conducting a stream sediment program over the remaining 22 targets identified at Garies. Furthermore, capital will support step-out auger drilling at the Adriano and Fotinho Rare Earth Projects in Mozambique, assist the Corridor Heavy Mineral Sands Project joint venture, and contribute to working capital.
Strategically, this capital injection provides a clear pathway to expand the DrillTarg resource along strike and down dip, progress the Mining Licence Application, and advance towards a pilot plant for the Garies Rare Earth Project. Located in South Africa’s Northern Cape Province, the 70% owned 275 km² tenement is a core focus. MRG Metals is now actively seeking strategic partners to further develop the project, including potential funding for the pilot plant and ongoing exploration. Concurrently, step-out auger drilling will continue at the Adriano and Fotinho Rare Earth Projects in Mozambique to define the mineralised footprint.
