Critical Mineral Resources (LSE:CMRS) has secured a US$2 million equity investment from Nebari Natural Resources AIV II to support work at its Agadir Melloul copper-silver project in Morocco and provide additional working capital.
The investment is being made at 2.0 pence per share and will result in Nebari holding approximately 15.2% of Critical Mineral Resources’ enlarged share capital.
Proceeds from the financing are expected to be used for resource definition, acquisitions, technical studies and development activities at Agadir Melloul, alongside general working capital requirements.
Nebari Receives Warrants and Financing Rights
Under the investment agreement, Nebari will receive pre-emption rights and a package of warrants. If the warrants are exercised in full, they could provide Critical Mineral Resources with approximately £2.8 million of additional funding.
Nebari has also been granted a right of first refusal in relation to construction financing for Agadir Melloul and future mine developments.
The agreement provides Nebari with a board observer position and representation on a technical committee, giving the mining financier involvement in discussions relating to project development and financing.
Critical Mineral Resources is also undertaking a concurrent share issue to Gilini Holdings as part of the changes to its capital structure.
Funding to Support Agadir Melloul Development
Critical Mineral Resources is progressing Agadir Melloul towards a maiden JORC resource. The copper-silver project is located in Morocco’s Western Anti-Atlas.
The company is focused on the exploration and development of critical mineral projects, with its activities primarily centred on copper and silver assets in Morocco.
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