Askari Metals (ASX:AS2) advances African exploration strategy following oversubscribed entitlement offer

Askari Metals has reinforced its exploration-driven strategy in Southern Africa after closing its non renounceable entitlement offer oversubscribed, raising approximately $1.6 million.

The result strengthens the Company’s balance sheet and provides the financial platform to accelerate field activities at both the Nejo Gold and Copper Project in Ethiopia and the Uis Project in Namibia, two assets positioned within highly prospective mineralised belts.

Highlights

• Entitlement offer closed oversubscribed raising approximately $1.6 million

• Executive Director Gino D’Anna and Chairman Robert Downey took up their full entitlement

• Nejo Gold and Copper Project to receive exploration funding including an initial reconnaissance program and a maiden drilling program of approximately 3,000 metres at Guji, Komto 1 and Komto 2

• Nejo spans 1,174 square kilometres on the Arabian Nubian Shield with ten high priority targets and drill ready prospects

• Historic drilling has identified high grade copper mineralisation in the north west of the Nejo Project area

• Uis Project exploration to re commence with tin, tantalum and rubidium work and assay results from previous trenching to be released

• The Nejo landholding surrounds the 1.7 million ounce Tulu Kapi Mine and sits on the same greenstone belt as the 3.4 million ounce Kurmuk Mine

• The Company received valid applications from 190 shareholders totalling $1,589,679

The entitlement offer generated strong participation with $660,417 received from eligible entitlement applications and an additional $929,262 from applications for additional entitlements, reflecting broad shareholder engagement across the register.

Executive Director Gino D’Anna and Chairman Robert Downey taking up their full entitlement further demonstrates alignment at a time when Askari Metals is executing an ambitious exploration program across Ethiopia and Namibia.

A significant proportion of the funds are directed toward the Nejo Gold and Copper Project in Central Western Ethiopia.

Nejo covers 1,174 square kilometres on the Arabian Nubian Shield, which is described as one of the last underexplored, mineral rich frontier belts hosting multiple large scale gold and copper deposits.

The project has ten high priority targets where drilling and trenching have been undertaken historically with limited follow up and no systematic exploration.

Drill ready targets have been identified at Guji, Komto 1 and Komto 2, with the Company planning a maiden drilling program of approximately 3,000 metres incorporating confirmatory holes, strike extension and grid drilling.

Historic work has already identified high grade copper mineralisation in the north west of the project area.

The Company is also preparing to re commence exploration at the Uis Project in Namibia, with assay results from previous trenching scheduled for release and tin, tantalum and rubidium exploration set to resume.

The Uis Project is strategically located directly along strike of the Uis Tin Mine which is owned and operated by Andrada Mining Limited.

Earlier drilling, trenching and sampling confirmed high grade tin, tantalum, rubidium and lithium mineralisation within significant pegmatites identified to date.

The Company’s view on the strength of the capital raising was captured by Executive Director Gino D’Anna, who stated,

“It is outstanding to see such strong support from our existing shareholders validating the Company’s strategic direction and our exploration projects.”

With the entitlement offer now closed oversubscribed and allotment of shares and options to follow, Askari Metals enters a period of concentrated operational activity across its African portfolio.

The advanced nature of Nejo, the tier one geological setting, and the recommencement of work at Uis provide a structured pipeline of exploration catalysts.

As systematic exploration progresses across both projects, the Company is positioned for an active period of trenching, drilling and assay results that will shape the next phase of project development.