First Phosphate Corp. (CSE:PHOS, OTCQX:FRSPF) has closed the third and largest slice of a private placement, bringing in $11.4 million in total through the three-part offering.
The Quebec-based miner, which is developing phosphate projects for use in lithium iron phosphate (LFP) batteries, said Friday’s closing raised $4.7 million.
That included $1.58 million from so-called flow-through shares, special stock that gives Canadian investors tax breaks when their money funds exploration, and $3.1 million from “hard dollar units,” which are standard shares sold alongside warrants, or options to buy more shares later at a fixed price.
Across all three tranches, the company issued about 13.1 million flow-through shares for $6.5 million and 9.8 million hard dollar units for $4.9 million. The financing attracted family offices, institutional investors, and Toronto-based AlphaNorth Asset Management, the company said.
Since June 2022, First Phosphate has raised nearly $40 million in nine private placements, with almost half of that coming in the past five months.
Chief executive John Passalacqua said the funding leaves the company “well-capitalized” as it pushes toward a feasibility study by the end of 2026, mining permits in 2027, and a phosphate mine in operation by 2029.
“Our timelines are aggressive, and, so they should be: an integrated North American lithium iron phosphate battery supply chain is a matter of national security to both the United States and Canada,” he said.
As part of the latest financing, the company paid $35,600 in cash fees and issued shares and warrants to intermediaries who helped arrange the deal.
Two board members also bought stock in the offering, a move that qualifies as a related-party transaction under Canadian securities rules but was exempt from a shareholder vote because of its small size.
The company also signed a 13-month contract with NaFinance.com to run advertising and social media campaigns, paying $2,800 for the initial term.
First Phosphate is developing its flagship Bégin-Lamarche project in Quebec’s Saguenay-Lac-Saint-Jean region, where its igneous rock deposits yield high-purity phosphate. The company aims to supply directly into the North American LFP battery supply chain.