Strong demand has led FireFly Metals Ltd (ASX:FFM, TSX:FFM, OTC:MNXMF) to double the size of its Share Purchase Plan (SPP) to A$10 million after receiving applications worth approximately A$28.2 million from retail shareholders, far exceeding the original A$5 million target.
This follows a concurrent ~A$98.1 million Equity Raising across Australia and Canada.
Once complete, FireFly expects to hold ~A$145 million in cash and liquid investments, supporting an eight-rig drilling strategy and advancing mining studies at its Green Bay Copper-Gold Project in Newfoundland.
The company received valid applications from 1,676 of 5,365 eligible shareholders — equating to a 31% participation rate.
FireFly’s managing director Steve Parsons said the company was committed to maximising shareholder value, adding an eighth drill rig to accelerate near-mine and regional exploration.
“We are delighted to have received such strong demand for the SPP, much of which has come from our loyal retail shareholders, and we have taken the opportunity to double the total provision to A$10 million,” FireFly managing director Steve Parsons said.
“We are about to add an eighth drill rig to our program at Green Bay to ensure we can unlock the value of the near-mine opportunities and the regional targets as rapidly as possible.
“With so many rigs turning and mining studies underway, we anticipate continuing to generate strong results and news flow as we push hard to create maximum shareholder value.”
Equity raising breakdown
The A$98.1 million Equity Raising comprises:
- A$11.2 million charity flow-through placement to Canadian investors (C$10 million at ~A$1.49 per share)
- A$54.9 million two-tranche institutional placement at A$0.96 per share
- A$32 million fully underwritten Canadian bought deal offering (C$28.4 million at C$0.86 per share)
- Tranche one of the institutional placement and the Canadian offering have been completed. The second tranche is subject to shareholder approval at an upcoming general meeting.
SPP structure and scale-back
Due to overwhelming demand, the company implemented a scale-back mechanism:
Excess funds will be refunded without interest. A total of 10,416,666 new fully paid ordinary shares will be issued on July 14, 2025, and trade from July 15.
Use of funds
The money raised will go towards accelerating FireFly Metals’ growth strategy, particularly at its flagship Green Bay Copper-Gold Project in Newfoundland, Canada.
The company is working to expand and upgrade the project’s Mineral Resource, as well as support underground development, pre-construction activities, and detailed mining studies.
A portion of the proceeds will also be used for general working capital requirements to maintain operational momentum.
FireFly is currently executing an extensive 130,000-metre diamond drilling program at Green Bay and will soon deploy an eighth drill rig to fast-track both near-mine and regional exploration targets.
The company’s objective is to establish Green Bay as a globally significant copper-gold asset, underpinned by its current Mineral Resource of 24.4 million tonnes of Measured and Indicated Resources at 1.9% copper equivalent (CuEq) and 34.5 million tonnes of Inferred Resources at 2.0% CuEq.
In addition to Green Bay, FireFly holds a 70% interest in the Pickle Crow Gold Project in Ontario, with an Inferred Resource of 11.9 million tonnes at 7.2 grams per tonne for 2.8 million ounces of gold. The company also owns a 90% stake in the Limestone Well Vanadium-Titanium Project in Western Australia, further strengthening its diversified portfolio of high-grade, development-ready assets.