Image source: © 2025 Krish Capital Pty. Ltd.

Highlights

  • Advance Metals raises AUD 13 million through two-tranche placement to institutional investors
  • Placement supported by Jupiter Asset Management, Tribeca, Lowell Resources, APAC Resources, Next Investors
  • Funds will accelerate exploration across high-grade silver-gold projects in Mexico and Victoria

Advance Metals Limited (ASX:AVM) has announced three acquisitions, taking an 80% interest in the Myrtleford and Beaufort Gold Projects in Victoria, Australia, and 100% interests in the Yoquivo and Gavilanes Silver Projects in Mexico.

Placement Overview

Advance Metals has successfully raised capital to fund exploration programs across its high-grade silver-gold projects in Mexico and gold projects in Victoria. The company obtained firm commitments totalling AUD 13 million (before costs) through a two-part placement aimed at institutional and sophisticated investors. Jupiter Asset Management and Tribeca Investment Partners contributed AUD 6.5 million as cornerstone investors, with additional support from Lowell Resources Fund, APAC Resources, and Next Investors. In response to international interest, Advance intends to pursue a dual listing in North America and will provide updates on its progress.

Project Updates

The capital raising comes after Advance Metals acquired the Guadalupe y Calvo (GyC) Gold-Silver Project in Mexico on 22 July 2025. Exploration is underway at GyC and the nearby Yoquivo and Gavilanes Silver Projects, with a maiden diamond drilling program at GyC planned, subject to approvals. In Victoria, drilling at the Myrtleford Gold Project continues, where recent results at the central Happy Valley Prospect have identified an ultra-high grade gold zone. The program will focus on expanding known mineralisation and testing additional high-priority targets.

Placement Details

The placement raised AUD 13.0 million at a price of AUD 0.10 per share. Tranche 1 will comprise 34,779,261 shares issued under Listing Rule 7.1 and 29,863,740 shares under Listing Rule 7.1A. Tranche 2 will include 65,356,999 shares, subject to shareholder approval. A 1-for-2 attaching option will be offered at AUD 0.15 per option, exercisable within two years and requiring shareholder approval. The issue price reflects a 3% premium to the 5-day VWAP of AUD 0.0973 and a 28% premium to the 20-day VWAP of AUD 0.0784. Indicative dates for share issuance are 13 October 2025 for Tranche 1 and 4 December 2025 for Tranche 2. Tranche 1 shares will use the Company’s existing placement capacity, while Tranche 2 shares and all options will need shareholder approval. A cleansing prospectus will be prepared to allow secondary trading.

Use of Funds

The proceeds from the placement will be allocated to an accelerated exploration program across Advance Metals’ Mexican silver-gold projects, including a maiden drilling campaign at the Guadalupe y Calvo (GyC) Project. In Victoria, the funds will support expanded drilling and target generation at the Happy Valley Prospect and other regional projects. Part of the proceeds will also be used for general working capital.

Fees

The placement was managed directly by the Company without a broker, with a 6% fee applied to the portion of funds raised through licensed brokers.

Management Comment

Managing Director Dr Adam McKinnon said:

“I am exceptionally pleased by the support we have received with this placement, underscoring the immense potential of the high-quality silver and gold assets the Company has assembled over the last year. We welcome a large group of new institutional and sophisticated investors to Advance, which includes participants from Europe, Asia, North America and Australia. The placement puts the Company in a fantastic position - fully funded to rapidly grow our silver endowment in Mexico and expand our high impact drilling campaign in Victoria.”

Share Performance of - AVM

The company is currently trading at AUD 0.127 per share and up by 21.428% from its previous close of AUD 0.105.