Australia's Northern Minerals raises A$30m for rare earths expansion
Summary
[MELBOURNE] Australian rare earths developer Northern Minerals said on Monday it has raised A$30 million (S$28.8 million) from shareholders to fund expansion at its Browns Range project after trade tensions refocused interest in the industry. The developer has received commitments from Australian and overseas investors for the rights issue to fund further exploration, an ore sorting machine, and an examination of whether it can move more production onshore, it said in a filing with the Australian Securities Exchange. The industry had been suffering from a lack of investment until trade tensions this year stoked demand for supply from outside of top producer China after Chinas state media implied it could curb exports to the United States. "The programme expansion and acceleration is a result of significantly increased levels of interest in the company and the Browns Range Project from a number of parties, including potential customers, investors and government bodies in Australia and the US," the company said. Although China contains only a third of the worlds rare earth reserves, it accounts for 80 percent of US imports of the minerals.