Perpetual Resources locks in funding for first Igrejinha drilling

The company is moving ahead with drilling plans at the Igrejinha project in Brazil’s Lithium Valley following commitments to raise $500,000 in a placement.

Perpetual received strong investor support for the placement, reflecting a high-level of confidence in the company’s upcoming drilling campaign. Pic: Getty Images

• Perpetual raises $500,000 in a placement to professional and sophisticated investors

• Funds will be used for a maiden drilling program at Igrejinha

• Drill contract selection is nearing completion with work to begin in June

 

Special report: Perpetual Resources has received the backing of investors to raise $500,000 in a placement for maiden lithium drilling at the Igrejinha project, where rock chips returned grades of up to 7.6% Li20.

The placement of more than 30.46m fully paid shares at 1.3c per share, received strong demand from professional and sophisticated investors, resulting in allocation scale backs.

The offer price reflects a 13.3% discount to Perpetual’s (ASX:PEC) last closing price of 1.5c per share on April 24 and a 5.0% discount to the 15-day VWAP of 1.37c.

PEC plans to use the funds to start a maiden drilling program at Igrejinha where sampling of outcropping pegmatites has returned impressive spodumene grades, reinforcing the presence of high-grade lithium across the project footprint.

Two rock chips topped the lab's maximum detection limit of 5.38% Li2O, echoing previous reported grades up to 7.6% Li2O in individual 0.5m crystals.

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‘Exciting period of growth’

PEC executive chairman Julian Babarczy said the company was very pleased with the strong investor support for the capital raising.

“With drilling set to commence in early June, and further soil and auger assay results expected shortly, this is shaping up to be an exciting period of growth for Perpetual,” he said.

“We remain committed to generating value for our shareholders by systematically advancing our highly prospective Brazilian lithium portfolio and we look forward to keeping the market updated as we build momentum through 2025.”

In February, PEC snapped up an agreement to acquire three high-potential and advanced exploration licences, which included Igrejinha, near its established territory in Brazil’s Lithium Valley heartland.

The licences are not only neighboured by PEC’s own Isabella project, but by Sigma Lithium’s operations, which stand as South America’s largest hard rock lithium complex and the world’s second-lowest cost spodumene operation.

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An extensive soil and auger sampling program (~220 samples) has been completed adjacent to mineralised pegmatite zones, with assay results expected in the first half of May.

Drill contractor selection is also nearing completion, with the maiden campaign targeting high-priority lithium zones scheduled to begin in early June.

This article was developed in collaboration with PEC, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

Originally published as Perpetual Resources locks in funding for first Igrejinha drilling