- Rare earths explorer RareX (REE) has entered a trading halt as it prepares for an upcoming capital raise
- The company will remain in the halt until November 13 or when an announcement is made, whichever occurs first
- In late October, RareX intersected high-grade niobium and rare earth assays at its Cummins Range Rare Earths Project in Western Australia
- Up to 10.7 per cent total rare earth oxides and 1.04 per cent niobium pentoxide was intersected
- Looking at its financials, RareX’s total expenses amounted to more than $8 million for FY20, a significant increase from $2.9 million in FY19
- However, the company almost doubled its total income on the prior corresponding period, up from just over $725,000 in FY19 to more than $1.3 million FY20
- Shares in RareX last traded for 11.5 cents on November 10
Rare earths explorer RareX (REE) has entered a trading halt as it prepares for an upcoming capital raise.
The rare earths explorer will remain in the halt until November 13 or when an announcement is made, whichever occurs first.
It has not yet been announced how much RareX is aiming to raise or what it will use the funds for.
On October 27, RareX intersected high-grade niobium and rare earth assays at its Cummins Range Rare Earths Project in Western Australia.
A “bonanza” result of 109 metres at 3.6 per cent total rare earth oxides (TREO) and 0.44 per cent niobium pentoxide from 24 metres including 13 metres at 10.7 per cent TREO and 1.04 per cent niobium pentoxide from 76 metres was returned.
“These impressive results provide strong support for the the potential to both upgrade the resources and to define a high-grade component within the broader resource,” Managing Director Jeremy Robinson said at the time.
Looking at its financials, RareX’s total expenses amounted to more than $8 million for FY20, a significant increase from $2.9 million in FY19.
The majority of these funds went to tenement acquisitions and share-based payment expenses.
However, the company almost doubled its total income from the prior corresponding period (pcp), from $725,440 in FY19 to $1,349,844 in FY20.
As of June 30, RareX had cash and cash equivalents totalling $3,425,058.
Shares in RareX last traded for 11.5 cents on November 10.