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Allied Critical Metals Announces Corporate Update
ACMAECOM(ACM) Thenewswire·2025-05-16 21:00

Core Viewpoint - Allied Critical Metals Inc. has provided an update on its use of funds following a concurrent financing of approximately 4.6million,emphasizingtheprioritizationofexplorationattheBorralhaTungstenProjecttoachieveapreliminaryeconomicassessmentbysummer2025[1][3][4].SummarybyRelevantSectionsUseofFunds−Thecompanyplanstoallocatethefundsfromtheconcurrentfinancingasfollows:−BorralhaPhase1:4.6 million, emphasizing the prioritization of exploration at the Borralha Tungsten Project to achieve a preliminary economic assessment by summer 2025 [1][3][4]. Summary by Relevant Sections Use of Funds - The company plans to allocate the funds from the concurrent financing as follows: - Borralha Phase 1: 492,600 - Borralha Phase 2: 1,503,200−VilaVerdePhase1:1,503,200 - Vila Verde Phase 1: 0 (not funded) - Vila Verde Phase 2: 0(notfunded)−Prepaymenton2027Note:0 (not funded) - Prepayment on 2027 Note: 100,000 - General and administrative costs: 180,000−Investorrelationsservices:180,000 - Investor relations services: 885,500 - Additional working capital: 231,866−Totalestimateduseoffundsis231,866 - Total estimated use of funds is 3,574,811, which is 245,824lessthanthemaximumprojectedamountof245,824 less than the maximum projected amount of 3,820,635 [2][5]. Exploration Focus - The company is prioritizing the Borralha project for exploration, which is expected to enable the completion of a preliminary economic assessment (PEA) or prefeasibility study (PFS) by the end of summer 2025. Drilling at Borralha is anticipated to commence on May 22, 2025 [3][4]. Investor Relations Strategy - A total of 885,500hasbeenallocatedforinvestorrelationsservicestoenhancethecompany′sprofileandfacilitatefuturecapitalraisingeffortsfollowingthecompletionofthePEA/PFS[4][5].MarketContext−Thetungstenmarketiscurrentlyvaluedatapproximately885,500 has been allocated for investor relations services to enhance the company's profile and facilitate future capital raising efforts following the completion of the PEA/PFS [4][5]. Market Context - The tungsten market is currently valued at approximately 5 to 6billionUSD,withpriceshavingrisenby256 billion USD, with prices having risen by 25% from 320/MTU to 400/MTUoverthepastfivemonths.Thisincreaseisattributedtoafavorablemacroeconomicenvironmentfortungsten,whichisconsideredacriticalmetal[4][12].ManagementChanges−SeanChoihasbeenappointedasthenewChiefFinancialOfficer,replacingKeithMargetson,whowillcontinueasaconsultant[8][9].StockOptionsandRSUs−Thecompanyhasgranted3,500,000stockoptionsatanexercisepriceof400/MTU over the past five months. This increase is attributed to a favorable macroeconomic environment for tungsten, which is considered a critical metal [4][12]. Management Changes - Sean Choi has been appointed as the new Chief Financial Officer, replacing Keith Margetson, who will continue as a consultant [8][9]. Stock Options and RSUs - The company has granted 3,500,000 stock options at an exercise price of 0.22 per share and 4,097,760 restricted share units (RSUs) to its directors, officers, employees, and consultants [10][11].