Lithium explorer and developer Winsome Resources (ASX: WR1) (“Winsome” or the “Company”) is pleased to announce it is raising capital through a placement and a share purchase plan for existing shareholders. Firm commitments have been received for A$7.84 million in funding via the Institutional Share Placement (“Placement”) to advance the Adina Lithium Project (“Adina”) into project development and to explore and grow Winsome’s Mineral Resources. Winsome will also offer existing shareholders the opportunity to participate in the capital raise via a Share Purchase Plan (“SPP”).
Alongside the Placement, Winsome has agreed to amend the Call Option Agreement with Stornoway Diamonds (Canada) Inc. (“Stornoway”) and 11272420 Canada Inc. (together the “Vendors”) pursuant to which Winsome has an option (“Option”) to acquire all of the issued capital in Stornoway, the entity holding the assets comprising the Renard diamond mine, processing facility and associated infrastructure (“Renard Project” or “Renard”).
Funds raised from the Placement will be applied to:
- Extending the Renard Option to 31 August 2025 at a cost of C$8.5 million,
- Advancing Adina Lithium Project studies,
- Investigating Carbon Dioxide Removal (“CDR”) opportunities, and
- General working capital and costs of the Offer.
“The additional funds put Winsome in a strong financial position to advance the Adina Lithium Project, which comprises one of the largest and growing lithium deposits in North America, an exclusive option to acquire the billion-dollar Renard operation and associated infrastructure and a clearly defined pathway to production.”- Chris Evans, Managing director
“Winsome Resources is firmly committed to developing the Adina Lithium Project and is pleased to see the significant level of interest from high conviction investors who believe in Winsome’s vision of integrating into the North American EV supply chain.”- Carl Caumartin, General Manager – Canada
