The company expects to receive the net funds of $2.5 million this week.
The 2-year convertible security has a face value of $3 million with a 0% interest rate and a conversion price of the lesser of either, 90% of the average of the five lowest daily VWAPs during the 20 trading days prior to conversion, or 4.5 cents per share.
The funds will be applied towards the continued development of the company’s projects and for general working capital purposes.
Pilot Plant performance and experiments on track
Northern Minerals has completed practical completion of the Browns Range pilot plant project and commenced pilot plant production of heavy rare earth carbonate.
The pilot plant project will continue to assist the company to evaluate the economic and technical feasibility of mining at Browns Range and will provide the opportunity to gain production experience and surety of supply for its offtake partner.