This announcement contains inside information

19 August 2024

Neometals Ltd

("Neometals" or "the Company")

US$3M Placement

Highlights

·      Existing long-term shareholder Mr William Robert Richmond subscribes for approximately US$3 million in ordinary fully paid shares at US$0.045 per share.

·      Placement proceeds to support flagship Lithium-ion Battery (LiB) Recycling business through the industrial validation stage; and

·      The Company will have a net cash balance of $9.3M post completion.

Sustainable process technology developer, Neometals Ltd (ASX & AIM: NMT) ("Neometals" or "the Company"), is pleased to announce the successful execution of a subscription agreement with Mr William Robert Richmond to raise approximately US$3 million (approximately A$4.5 million, based on an exchange rate of US$0.663 ) (Subscription Amount) through the issue of 66,666,666 new ordinary fully paid shares (Placement Shares) at an issue price of US$0.045 (representing A$0.068, based on an exchange rate of US$0.663 per share) (Placement).

Placement details:

Under the terms of the Subscription Agreement, the Placement will complete upon receipt of the Subscription Amount, which is anticipated on Monday, 19 August 2024. The Company will issue the Placement Shares to Mr Richmond under the Company's ASX Listing Rule 7.1 placement capacity.

The Placement Shares will rank equally with existing Neometals fully paid ordinary shares from their date of issue.  

Application will be made to the London Stock Exchange for the New Ordinary Shares to be admitted to trading on AIM. It is currently expected that Admission will become effective, and that dealings in the New Ordinary Shares will commence on AIM, at 8.00 a.m. on 22 August 2024. The Enlarged Issued Share Capital, as increased by the New Ordinary Shares, immediately following Admission (and excluding any issues of shares pursuant to the exercise of any employee share incentives or options between the date of this Announcement and Admission) will be 689,898,094 Ordinary Shares.

The New Ordinary Shares, when issued, will be credited as fully paid and will rank on Admission pari passu in all respects with each other and with the Existing Ordinary Shares, including the right to receive all dividends and other distributions declared, made or paid after the date of issue.

Following the Placement, William Robert Richmond is now interested in 68,592,646 Ordinary Shares, representing 9.9 per cent. of the Company's current issued share capital.

Neometals Managing Director Chris Reed said:

"We are pleased to receive this commitment from a long-standing supporter. Our strengthened capital position allows us to focus on the successful industrial validation of our technology through the delivery of Mercedes-Benz's Pilot Plant by our plant-building joint venture Primobius".

Authorised on behalf of Neometals by Christopher Reed, Managing Director.

- ENDS -

For more information, please contact:

About Neometals

Neometals facilitates sustainable critical material supply chains and reduces the environmental burden of traditional mining in the global transition to a circular economy.

The Company is commercialising a portfolio of sustainable processing solutions that recycle and recover critical materials from high-value waste streams.

·      Neometals' core focus is its patented, Lithium-ion Battery ("LiB") Recycling technology (50% NMT), being commercialised in a 50:50 incorporated JV (Primobius GmbH) with 150-year-old German plant builder, SMS group GmbH. Primobius is supplying Mercedes-Benz a 2,500tpa recycling plant and operates its own LiB Disposal Service in Germany. Primobius' first 21,000tpa commercial plant will be offered to Stelco under an existing technology licence for North America.

Neometals is developing two advanced battery materials technologies for commercialisation under low-risk, low-capex technology licensing business models:

·      Lithium Chemicals (70% NMT) - Patented ELi™ electrolysis process, co-owned 30% by Mineral Resources Ltd, to produce battery quality lithium hydroxide from brine and/or hard-rock feedstocks at lowest quartile operating costs. Pilot scale test work and Engineering Cost Study update planned for completion in DecQ 2024; and

·      Vanadium Recovery (100% NMT) - Patent pending hydrometallurgical process to produce high-purity vanadium pentoxide from steelmaking by-product ("Slag") at lowest-quartile operating cost and carbon footprint.

Additionally, Neometals is conducting due diligence on acquiring a proprietary process and pilot plant to produce precious metals from waste.

For further information, visit: www.neometals.com.au.