Sign up Australia
Proactive Investors - Run By Investors For Investors

Northern Minerals bags $10M for heavy rare earth pilot plant

Aiming to be the first significant dysprosium producer outside China.
Northern Minerals bags $10M for heavy rare earth pilot plant
Dysprosium is used to produce magnets

Northern Minerals (ASX:NTU) has entered an underwriting agreement with a Hong Kong-based fund to raise $10 million via a share placement at $0.135 per share.

Interestingly, the placement is at a 4% premium to Friday’s (17 March 2017) closing price of $0.13.

The new capital will support Northern Minerals as it approaches the final investment decision for a pilot plant at its Browns Range project spread across Western Australia and the Northern Territory.

Through the development of Browns Range, Northern Minerals aims to be the first significant world producer of dysprosium outside of China.

The project has a number of deposits and prospects containing high value dysprosium and other heavy rare earths, hosted in xenotime mineralisation.

Northern Minerals is proposing to develop a pilot plant at Browns Range as stage 1 of a three-stage process to fully commercialise the project.

The proposed pilot plant is expected to operate at 10% of the full-scale plant for a period of three years.

Dysprosium is an essential ingredient in the production of DyNdFeB (dysprosium neodymium iron-boron) magnets used in clean energy and high technology solutions.

Northern Minerals’ share price has doubled over the past one year, last trading at $0.125.



Register here to be notified of future NTU Company articles
View full NTU profile

Northern Minerals Timeline

Related Articles

Offshore oil operations, North Sea
August 18 2016
Premier Oil told investors it now expects to produce between 68,000 to 73,000 barrels oil equivalent per day in 2016.
carnarvon-petroleum-MD-Adrian-Cook-757.jpg
February 03 2017
Adrian Cook discussed the company's 2017 exploration plan with investors.
genex-power_Simon-Kidston-757.jpg
November 24 2016
Simon Kidston presented at Mines and Money Melbourne.

© Proactive Investors 2017

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use