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Future Metals eyes idled Savannah plant for ore processing

10th April 2025

By: Mariaan Webb

Creamer Media Senior Deputy Editor Online

     

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ASX- and Aim-listed Future Metals on Thursday announced a nonbinding agreement with investment company Zeta Resources to explore the potential for processing ore at the idled Savannah plant in Western Australia.

Zeta, the sole shareholder of Panoramic Resources owns the Savannah mine processing plant, which is currently on care and maintenance.

Under the memorandum of understanding (MoU), the two parties would assess the feasibility of supplying ore from Future Metals’ Eileen Bore and/or Panton projects to the Savannah facility.

Future Metals pointed out that the collaboration marked an opportunity to leverage existing infrastructure in the Kimberley region and could lead to a commercial agreement should feasibility studies deliver positive outcomes.

In parallel with the MoU, Future Metals launched a two-part capital raising of up to A$4.2-million, comprising a placement and a planned rights issue.

The company has received firm commitments to raise A$1.58-million through the placement of 143.8-million shares at A$0.011 apiece, which is an 8.3% discount to the last closing price. Zeta has committed to acquiring 71.8-million shares under the placement, bringing its post-deal interest to 9.99% of the company.

A pro-rata rights issue will follow, offering eligible shareholders one new share for every three held at the same A$0.011 price point, potentially raising a further A$2.64-million.

Proceeds from the capital raising will be used to advance exploration and development at the Eileen Bore project, which Future Metals is positioning as a bulk copper feed source for the Savannah plant, and for general working capital.

Future Metals holds the Panton platinum group metals project and the nearby Eileen Bore deposit in the East Kimberley.

Panoramic reopened the Savannah mine in 2021 but struggled when nickel prices halved two years later, leading to the suspension of operations and the company going under.

Edited by Creamer Media Reporter

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