Critical Metals plc, operator of Molulu copper/cobalt project in the Democratic Republic of Congo (“Molulu”), is pleased to announce it has raised c. £215,000 at 9.5 pence per share (“the Placing”), the proceeds of which will be used for advancing the diamond drilling campaign at Molulu and for the upgrade of the public road to Molulu, as previously announced.
Drilling Campaign
As announced on 19 December 2023, the Molulu Project has undertaken diamond drilling in Phases 1, 2, and 4, for resource estimation of the copper-cobalt mineralisation in the area in order to update a JORC compliant report. The planned drill holes were placed in high signature zones shown by magnetics and IP surveys done within the project area. A total of 24 holes have been drilled, logged, and sampled at Molulu. The outcomes from the 24-drill-hole campaign have been encouraging, revealing high-grade copper mineralization that underscores the remarkable promise of the Molulu project. Going forward, drilling is anticipated to restart in January 2024 with core logging, scanning XRF analysis, QA/QC, and sampling to begin soon after. An extension of the drilling plan into Phase 2 and 3 is set to also commence in the first quarter of 2024. The key factors to this drilling programme are to scale out the mineralised zones in all the Phases, and to get the grade, mineralogy, thickness, and extent of the mineralised beds in each Phase.
The drilling data and information is planned to be inserted into the JORC report which is expected to be released in Q1 2024.
Road Upgrade
In addition, and as further set out in the Company’s announcement on 19 December 2023, the decision has been made to further invest in the public road from the Molulu Project to ensure reliable ore delivery at anticipated volumes. These road improvements also benefit the local community and form a continuing part of our programme of local stakeholder engagement.
Improvements to the road include additional grading, ground compacting, with a layer of stones to be placed in the areas of water collection and heavy usage. Such improvements include rainwater drainage points.
A road contractor has already been appointed and the time to improve the road is anticipated to take approximately forty-five (45) days. Work on the road is scheduled to begin in January and with these new improvements, the road is expected to be useable for copper ore deliveries for the remainder of the rain season which normally ends in April.
Part of the Placing proceeds will be used in this road upgrade.
The Placing
The Company has raised c. £215,000 at an issue price of 9.5 pence per Ordinary Share by the issue of 2,263,159 Ordinary Shares.
Russell Fryer, the CEO of Critical Metals PLC, has participated in this placement.
Admission of Ordinary Shares
Application has been made for the admission to the Official List and the Main Market of 2,263,159 Ordinary Shares in respect of the Placing, which are expected to admit on 12 January 2024. On Admission of the Ordinary Shares the total number of Ordinary Shares in issue will be 67,392,680 with each Ordinary Share carrying the right to one vote.
The figure which may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company under the Transparency (Directive 2004/109/EC) Regulations 2007 and the Transparency Rules is, therefore, 67,392,680.
