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AustChina (ASX:AUH) raises $2.54m to develop new applications for materials

ASX News, Energy
ASX:AUH      MCAP $6.301M
16 March 2022 13:15 (AEST)

Source: Reuters

AustChina (AUH) has raised $2.54 million through a placement for developing new applications for materials to further enhance the company and working capital.

This includes securing potential agreements with companies that have the technology to use inorganic and organic solid fuel inputs and waste materials to produce energy.

It is also using the money to explore options of utilising coal from its Blackall coal project to produce hydrogen, methanol and ammonia, and other saleable products.

The placement was offered to sophisticated and professional investors at the price of 1.4 cents each.

This represents a discount of 17.6 per cent to the last closing price and a 14.63 per cent discount to the 15-day volume-weighted average price.

The offer also includes one attaching option for every two shares subscribed for. These have an exercise price of 2.8 cents and expire in two years.

The new shares are expected to be issued next week on Thursday. 

Shares were trading 11.8 per cent lower today at 1.5 cents each at 1:10 pm AEDT.

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