Reward Minerals secures funding

Reward Minerals (ASX:RWD) has announced plans to raise $2.3 million through a two-tranche share placement. The capital will finance an engineering scoping study for a sulphate of potash (SOP) project. The study will leverage the Beyondie Potash Plant and Reward's innovative processing technology.

Reward Minerals' strategic outlook

Reward Minerals is raising $2.3 million through a share placement to fund an engineering scoping study for a SOP potash project in Western Australia. The project will use Reward's processing technology and components from the Beyondie Potash Plant. The placement involves issuing 38.37 million shares at $0.06 each, with investors receiving one free option for every two shares subscribed. The placement is split into two tranches, with the second tranche contingent on shareholder approval. Reward is also in the process of acquiring the Beyondie Potash Plant, with an independent assessment of the acquisition's fairness due soon. A General Meeting is planned for mid-December 2024 to seek shareholder approval for the acquisition. The company aims to strengthen its position as a leading SOP producer with strategic partnerships and investments. Reward Minerals is also focused on its Carnarvon Potash Project and has developed a proprietary SOP processing technology for which a patent application has been submitted.

Executive commentary on funding

The placement received strong support from sophisticated and professional investors, reflecting confidence in Reward's potential acquisition of the Beyondie Potash Plant and its innovative SOP processing technology.