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ASX junior raises slab of funding for uranium ventures

Uranium contender Vimy Resources is raising more than A$20 million in equity to progress its Mulga Rock and Alligator River assets.
ASX junior raises slab of funding for uranium ventures ASX junior raises slab of funding for uranium ventures ASX junior raises slab of funding for uranium ventures ASX junior raises slab of funding for uranium ventures ASX junior raises slab of funding for uranium ventures

Vimy Resources had been on a long road developing Mulga Rock in Western Australia

Staff reporter

Undisclosed institutions are putting in $18.5 million by buying new shares priced at 11c, with a $3 million share purchase plan for shareholders to be undertaken.

Vimy said global uranium equities had surged over 300% since October with the "growing positive sentiment for nuclear green energy" being the catalyst.

Vimy will undertake early works at the pre-development Mulga Rocks project in Western Australia, and explore Alligator River in the Northern Territory.

The company also suggested the strengthening of its balance sheet "allows Vimy to approach the coming uranium contracting cycle in a much more strategic fashion".

Vimy last raised cash in June 2020 when investors put in $5.5 million for shares priced at 3.6c.

Shares in Vimy were down 13.3% to 11.7c in morning trade, capitalising the company at $91 million.