Mentioned:
There’s a new major deal for tungsten production in Europe. And a publicly traded company in Canada is behind it.
What’s happening:
- Allied Critical Metals (CSE: ACM) secured a $40M USD financing commitment from two strategic investor to accelerate the build out of their tungsten production plant located in northern Portugal
By the numbers:
- $25M USD of the new funding will be invested as equity in Allied Critical Metals at a price of $2.05 CAD per common share and $15M USD will be structured as project financing
Why it matters:
- Allied Critical Metals has publicly stated they are now fully funded to achieve initial production at their Vila Verde Pilot Plant in Portugal
Going deeper:
- As part of the new financing round Allied Critical Metals will provide their strategic investor with 50% of the tungsten concentrates produced annually at their pilot plant with a price floor commitment
- Allied Critical Metals is currently licensed to process 150,000 tonnes of ore throughput annually at their Vila Verde Pilot Plant
The intrigue:
- Tungsten has continued to come into focus in the public markets lately, with Stanley Druckenmiller backed Guardian Metal Resources (NYSE: GMTL) just recently debuting on the New York Stock Exchange
