Phoenix Copper (AIM:PXC), the AIM-traded base and precious metals developer focused on its 80%-owned Empire Mine in Idaho, is targeting gross proceeds of approximately £2.3m through a combined placing, subscription and retail offer.
The primary use of proceeds is repayment of the outstanding US$1.564m principal owed to Indigo Capital under an unsecured convertible loan facility drawn during 2025, with the remainder covering process design engineering at Empire, UK and US operational costs and general working capital.
At least one director has indicated an intention to participate via the subscription, though no individual amounts have been disclosed.
The raise follows a September 2024 Pre-Feasibility Study that outlined a pre-tax net present value of US$87.86m and an internal rate of return of 46.4% for Empire's open-pit, based on proven and probable reserves of 10.1m tonnes carrying approximately 109.5m pounds of copper equivalent.
Full financing for Empire's construction remains outstanding; a US$80m copper bond programme with NIU Invest has delivered only the initial US$5m tranche, with NIU failing to fund four subsequent drawdowns before the April 2025 deadline.
The company warned that further funding will be required before the end of September 2026, beyond the near-term runway this raise provides.
Completion is conditional on shareholder approval at the Annual General Meeting, with admission expected on or around 27 July.
