- Element 25 (E25) has raised $35.5 million for the expansion of its Butcherbird Project in Pilbara, Western Australia
- The company is offering shares at $2.2o, which is an 8 per cent premium to the 30-day volume-weighted average price
- Proceeds will be used to fund the stage two expansion of manganese concentrate production from Butcherbird
- On the market this morning, Element 25 is down 7.84 per cent and trading at $2.47 per share
Element 25 (E25) has raised $35.5 million to fund stage two expansion at the Butcherbird Project in Western Australia.
The company has received commitments from investors to raise the money through a placement, offering shares at $2.2o, which is an 8 per cent premium to the 30-day volume-weighted average price.
Proceeds will be used to fund the stage two expansion of manganese concentrate production from Butcherbird.
Funds will also allow Element 25 to put a dedicated team in place to accelerate the flowsheet and plant design work to produce lithium-ion battery-grade manganese sulphate from the concentrate produced at the project.
Notably, manganese is emerging as an increasingly important ingredient for electric vehicle (EV) batteries, with potential supply constraints for nickel and cobalt forcing battery manufacturers to look to high manganese cathodes to produce the vast amount of cathode material required by the EV industry in the coming years.
The project is ideally placed to feed this potential demand, with the expanded production at Butcherbird to provide over one million tonnes per annum of manganese concentrate.
On the market this morning, Element 25 is down 7.84 per cent and trading at $2.47 per share at 10:19 am AEDT.