Medallion Resources Ltd (CVE:MDL) (OTCMKTS:MLLOF) announced another step in its development Friday, having raised a total of C$794,874 in a private placing to advance the business.
The company is developing a low-cost process to extract rare earth elements by exploiting monazite, a by-product of heavy mineral sands mining.
Late last month, the group achieved a major milestone in completing the development of its proprietary flow-sheet design to extract a rare-earth element (REE) concentrate from monazite sand – with advantages in automation and cost-efficiency.
The proceeds of this fundraise, which has now seen the second and final tranche closed, will be used for process engineering and trade-off studies, business development and general working capital, the company said.
Medallion issued over 2.19 million units in the second tranche at C$0.105 a throw for gross proceeds of C$230,754. In total, the offering, including both tranches, brought in total gross proceeds of C$794,874.
Each unit consisted of one company share and one half of a transferable share purchase warrant. Each warrant is exercisable to acquire one further company share at C$0.165 until February 10, 2022.
Rare earth metals are critical these days in the manufacture of electric and hybrid vehicles, electronics, imaging systems, wind turbines and defense systems.
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