Accelerate Resources Ltd (ASX:AX8) will issue A$220,105 in tax credits to eligible shareholders after it was approved for the Federal Government’s Junior Minerals Exploration Incentive (JMEI).
The manganese and lithium explorer will use the scheme to give back to shareholders who participated in its capital raising program.
Recently, proceeds fuelled exploration at the company’s Woodie Woodie North Manganese Project. They also supported work at the East Pilbara lithium and Comet gold camps and provided general working capital.
In a nutshell, the Federal Government’s JMEI scheme enables exploration companies to create refundable tax credits they can distribute to eligible shareholders.
To do so, companies can forgo a portion of the carried-forward tax losses that arise from approved expenditure on greenfield exploration.
About Accelerate Resources
Accelerate Resources is on a mission to become the next Australian manganese producer, supplying high-grade manganese to the steel and electric vehicle industries.
The company also owns the Comet Gold Project, hosted within some of the most prolific greenstone belts in Western Australia.
And around 200 kilometres east of Port Hedland, Accelerate is exploring lithium opportunities at its East Pilbara Lithium Project. Fieldwork is underway, but the company hopes to move to the target discovery stage in the near term.