Gold Mountain raises $4.5M for exploration

• Gold Mountain secured a binding commitment from a new institutional investor to raise $4.5 million.
• The company will issue 45,000,000 new ordinary shares at a price of $0.10 each.
• Proceeds will fund accelerated exploration at rare earth and lithium projects in Brazil alongside general working capital.

Gold Mountain (ASX:GMN) has secured a binding commitment to raise $4.5 million to fund mineral exploration in Brazil.

The capital raising utilises a portion of the $6 million capacity approved at a recent general meeting.

“We are very pleased with the strong support from a new institutional investor to strengthen our cap table,” said Gold Mountain Executive Director David Evans.

The transaction involves issuing 45,000,000 new fully paid ordinary shares at an issue price of $0.10 per share.

Following the announcement, the Gold Mountain share price was down at $0.081.

The exploration programmes will focus on advancing the company's rare earth elements and lithium project tenements located across Brazil.

The company stated that the newly issued placement shares will rank equally in all respects with existing ordinary shares.