Avenira raises $5 million, with $2 million strategic investment from China’s Hebang

ASX-listed phosphate chemicals producer Avenira has announced the raise of approximately $4.8 million before costs through a placement of new, fully-paid ordinary shares.

Avenira is developing a phosphate mine at Wonarah in the Northern Territory and a lithium ferro phosphate (LFP) battery cathode materials plant at Darwin’s Middle Arm precinct

In a statement on Wednesday, Avenira said all its directors participated in the placement, which received “significant demand” from existing and new investors based locally and overseas.

The raise included a strategic investment of about $2 million from China-headquartered Sichuan Hebang Biotechnology Corporation, and participation by Singapore-based resource investment firm Golden Energy and Resources.  

“The introduction of these groups as investors is a testament to the significant steps undertaken by the Company to progress the development of the world-class Wonarah Phosphate Project,” said Avenira Chair and CEO Brett Clark.

“The relationship with Hebang creates an opportunity for Avenira to accelerate the move downstream to the production of yellow phosphorus, adding substantial value to Wonarah resource and delivering a key element in the production of LFP. 

“And GEAR brings substantial development and operations experience in the mining and energy sectors across Asia and  Australia, that may be valuable to us as we embark on the development of Wonarah.”  

Avenira has also entered into a non-binding  Strategic Cooperation and Offtake MoU with Hebang, it said. The MoU covers “development of a yellow phosphorous plant” at Wonorah, as well as “direct shipping of phosphate ore and the development of renewable energy solutions” 

Picture: credit Avenira

Further reading

Avenira secures technology for battery cathode manufacturing

Avenira gets more time for Darwin battery cathode plant

Avenira completes cathode process design