Rio Tinto invest A$700,000 in Sovereign Metals projectRio Tinto increase its shareholding to 19.9% via an additional investment of A$700,000 in Sovereign Metals (Malawi)
Pilot Phase continues to progress with oversight from Sovereign-Rio Tinto Technical Committee
Sovereign Metals Limited is pleased to announce the commencement of a hydraulic mining trial at its Kasiya Rutile Project in Malawi as part of the ongoing Pilot Mining and Land Rehabilitation Program. The hydraulic mining trial aims to further develop previous testwork as part of the Kasiya Optimisation Study.
On 17 July 2023, the Company announced that Rio Tinto Mining and Exploration Limited (Rio Tinto) had made an investment of $40.4 million in the Company through the issue of 83,095,592 fully paid ordinary shares (Shares) and 34,549,598 unlisted Options (Rio Tinto Options).
On 3 July 2024, the Company announced that Rio Tinto had exercised the Rio Tinto Options and the Company subsequently issued 34,549,598 Shares to Rio Tinto to raise an additional $18.5 million (before costs).
Rio Tinto has advised the Company that it has elected to make an additional investment of A$690,360 in Sovereign through the issue of 1,290,392 Shares (Additional Shares) to Rio Tinto pursuant to Rio Tinto’s first right of refusal on equity issues in accordance with the Investment Agreement between Rio Tinto and the Company dated 16 July 2023.
Subject to the issue of Additional Shares, Rio Tinto will increase its shareholding in Sovereign to 19.9%.