Metals exploration and development company Ardea Resources has secured a A$4.6-million strategic investment from Japan’s Sumitomo Metal Mining, further strengthening the partnership between the two companies as they advance the Kalgoorlie nickel project – Goongarrie hub.
Sumitomo will subscribe for 10.73-million Ardea shares at A$0.43 apiece – representing a 7.5% premium to the last traded price and a 10% premium to the five-day volume weighted average price (VWAP) as of April 14. Upon completion of the placement, Sumitomo will hold about 5.1% of Ardea.
The funds will be used primarily for working capital, with Ardea continuing its contribution to the ongoing definitive feasibility study (DFS) for the Goongarrie project.
“We are delighted with Sumitomo Metal Mining becoming an Ardea shareholder, which is a strong endorsement of the Ardea team and the work under way at the Kalgoorlie nickel project – Goongarrie hub,” said Ardea MD and CEO Andrew Penkethman.
“We welcome our Goongarrie partner, Sumitomo, to the register at a 7.5% premium to the last traded price, and a 10% premium to the 5-day VWAP, on April 14, 2025. Sumitomo’s investment further demonstrates the ongoing strength of the partnership and the underlying value of Goongarrie as a large-scale, strategic source of nickel/cobalt in the Tier 1 jurisdiction of Western Australia. Ardea is pleased with the DFS progress at Goongarrie and looks forward to putting Sumitomo's funds to work.”
Sumitomo director and managing executive officer Masaru Takebayashi commented that the acquisition would “further strengthen the relationship between Ardea and Sumitomo, and by extension, the Japanese consortium, and will strongly advance the Kalgoorlie nickel project – Goongarrie hub.”
