Rare Element Resources (TSX-V: RES, NYSE Amex: REE) said Wednesday it has closed its previously announced financing, raising net proceeds of C$53.8 million.
The Vancouver-based company sold 6.39 million common shares at a price of C$9.00 per share, including the over-allotment option.
After commissions and offering expenses, the net proceeds were approximately C$53.8 million. Rare Element said the new funds will be used to finance work at the company's Bear Lodge rare earths deposit in Wyoming, including the completion of a pre-feasibility study, pilot plant testing, drilling, metallurgical work and exploration programs.
Rare-earth elements are key components of green energy technologies and other high-technology applications. Some of the major applications include hybrid automobiles, plug-in electric automobiles, wind turbines, computer hard drives and metal alloys.