Australian Rare Earths (ASX:AR3) secured approximately $6 million in a heavily supported share placement to institutional and professional investors.
The company will issue roughly 32.6 million new shares at $0.185 each, representing an 11.9% discount to its January 28, 2026, closing price.
The capital injection, combined with a $3.25 million government grant, strengthens the balance sheet to advance the Koppamurra Rare Earths Project.
The funding provides a clear runway for several near-term milestones, including the completion of the Koppamurra pre-feasibility study and the submission of a formal mining lease application.
A key focus will be the operation of the Koppamurra pilot plant at ANSTO's new Sydney facility, where AR3 was recently selected as the first customer.
This follows a January technical breakthrough that established a pathway to producing a 98.6% pure mixed rare earth oxide using a low-risk oxalate precipitation process.
Managing Director Travis Beinke noted that the placement reflects growing investor confidence in non-China supply options for critical heavy rare earths.
At the time of reporting, Australian Rare Earths’ share price was $0.20.