- Energy stock QEM (QEM) receives commitments to undertake a $2 million placement
- More than 13.4 million fully-paid ordinary shares will be issued to institutional, sophisticated and professional investors at 15 cents
- Subject to shareholder approval, Non-Executive Director David Fitch will subscribe for $580,000 worth in shares to maintain his 28 per cent shareholding
- QEM will use the money to speed up the development of its Julia Creek Vanadium-Oil Project in Queensland
- QEM ends the day in the grey with shares trading at 17.5 cents
Energy stock QEM (QEM) has received commitments to undertake a $2 million placement.
The company entered a trading halt on August 2 but did not disclose how much it intended to raise or what it would use the funds for.
A total of 13,423,333 fully paid ordinary shares will be issued to institutional, sophisticated and professional investors at 15 cents.
Subject to shareholder approval, Non-Executive Director David Fitch will subscribe for $580,000 worth in shares to maintain his 28 per cent shareholding.
QEM will use the money to speed up the development of its Julia Creek Vanadium-Oil Project in Queensland.
Shares are expected to settle on August 9 and be allocated on August 10.
Managing Director Gavin Loyden commented on the placement and how the company will use the funds.
“The funds will allow us to complete our oil and vanadium pilot plant and subsequent six months of operations to validate our strong extraction test results recorded to date,” Mr Loyden commented.
“This comes at a time of strong vanadium pricing and the increasingly apparent need for grid support batteries if we are to complete our transition to renewable and carbon-free power generation.
“Given vanadium redox batteries non-combustible and fully recyclable properties, we are excited to support this emerging technology and look forward to becoming a nationally significant developer of vanadium and oil.”
QEM has ended the day in the grey with shares trading at 17.5 cents in a $17.5 million market cap.