ASX Announcement — 4 September 2026
Mount Ridley Mines Limited (ASX: MRD; OTCID: MRDMF) has received firm commitments from sophisticated and professional investors to raise $2 million before costs through an oversubscribed placement priced at $0.033 per share.
Directors have also committed to subscribe for a further $100,000 on the same terms, subject to shareholder approval at the company’s next General Meeting.
Funding a defined technical program
Mount Ridley said it deliberately limited the raise to the funding required for its highest-value near-term activities, balancing execution certainty with dilution. The proceeds are expected to support:
- Flotation testwork assessing pre-concentration ahead of Selectro™ leaching, with the aim of improving feed grade and reducing reagent consumption.
- Large-scale Selectro testwork to increase the process technology readiness level, inform flowsheet design and support production of the company’s first mixed rare earth oxide product.
- Scoping studies as Mount Ridley progresses towards the design and construction of a demonstration plant.
- Resource definition work targeting greater geological confidence across Grass Patch’s scandium, gallium and heavy rare earth resources.
- Further Selectro development, including process optimisation, downstream studies and assessment of third-party feed opportunities.
The issue price represents a 17.5% discount to Mount Ridley’s last closing price of $0.040 on 1 September and a 9.2% discount to the 15-day VWAP of $0.0383. Settlement is scheduled for 10 September, with allotment expected on 11 September.
CEO comments
“The strength of support from our existing shareholder base speaks to the confidence in the Grass Patch project as we move into a high impact work program. This raise was sized deliberately against a defined work program rather than as a general contingency, with funds allocated specifically for the flotation program, bulk test work and scoping study as we progress toward the design and construction of a demonstration plant. We see this as a well-supported step that positions the company to execute without distraction over the coming months.”
— Allister Caird, Managing Director & CEO
For Cashu Research’s detailed analysis of the project, metallurgy, valuation and risks, read the Mount Ridley Mines initiation report.