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Battery Metals

Step-ups at Tanbreez dominate European Lithium’s September quarter 

European Lithium Ltd (ASX:EUR, OTCQB:EULIF)’s September 2025 quarter was dominated by step-ups at the Tanbreez rare earths project in Greenland, portfolio reshaping through share sales in NASDAQ-listed Critical Metals Corp (CRML), and steady de-risking across its European lithium footprint.

On the ground in Greenland, the company reported a stream of strong assays. Historic 2010 core from the Hill deposit averaged 0.58% TREO with 24.9% heavy rare earths (HREO) and 112 parts per million (ppm) gallium oxide across 10 diamond holes — higher than previously expected — while new 2024 drilling at the Fjord area returned 0.48–0.55% TREO with ~27% HREO (holes A2-24 to C-24), followed by consistent 0.40–0.42% TREO with ~26% HREO (holes D-24 to F-24).

Tanbreez Core Shed and Geologists Dr Hans Schonwandt, Greg Barnes, Ole Christianson, George Karageorge discussing core processing procedures August 2025.

During the quarter, CRML also completed a 2,500-metre resource upgrade program and lifted the 2025 drilling contract from US$2 million to US$3 million to extend both resource and reconnaissance targets. Assays from the 2024 program were lodged to ALS, with an updated resource targeted in H1/H2 2026 if results support it. Tanbreez currently carries a JORC 2012 maiden MRE of 45 Mt eudialyte grading 0.38% TREO (27% HREO), plus substantial feldspar and arfvedsonite industrial mineral inventories.

Putting money in the bank

Corporate activity was equally busy. EUR sold 1.0 million CRML shares in off-market trades during the quarter to raise about A$5.2 million net. After quarter-end, it sold a further ~9.88 million CRML shares at tiered prices of US$7.00, US$13.00 and US$16.50, adding ~A$183 million net.

Based on CRML’s October 29 close of US$11.59, EUR valued its CRML holding at ~US$615 million (A$947 million), and cited a combined EUR/CRML cash balance of ~A$325 million at announcement (EUR A$195.5m; CRML A$129.5m).

The company also flagged an on-market share buy-back, additional Tanbreez drilling, an amended Tanbreez acquisition agreement by CRML, and a CRML LOI for offtake with Ucore Rare Metals. All resolutions at EUR’s August 4 general meeting passed.

Read more: European Lithium sells additional CRML stake, raising US$50m; CRML completes US$50m PIPE for Tanbreez

Lithium portfolio ticks along

Within the lithium portfolio, Irish field crews were mobilised at the Leinster Project for reconnaissance geochemistry, geophysics and mapping to define drill targets.

In Austria, EUR completed planning and technical layout of the Wolfsberg energy supply corridor with utility KELAG, an important step toward project build readiness alongside the BMW long-term offtake agreement for battery-grade lithium hydroxide.

Austrian Lithium Projects location.

In Western Australia, objections over E47/4144 were resolved and withdrawn, and a reconnaissance trip advanced targeting at E47/4532.

In Ukraine, the company continued to pursue 20-year special permits for the Dobra and Shevchenkivske projects through formal processes while monitoring security conditions; a public auction for Dobra was expected mid-December 2025.

Investment and financing

Cash flows reflected investment and financing moves. Operating cash outflows were A$3.18 million (including CRML insurance of A$0.41m). Investing delivered a net A$1.05 million outflow: A$3.33 million on Tanbreez and A$0.62 million across Wolfsberg, Irish and Australian projects, partly offset by A$5.27 million of proceeds from securities sales; the period also included A$1.50 million for new listed investments and transaction costs linked to CRML’s BTC convertible note and share sales.

Financing was a net A$2.22 million outflow, including loans to Tanbreez (A$1.10m) and Moab Minerals (A$0.50m), convertible note funding to Pan African Niger (A$0.27m), and establishment fees (A$0.49m). EUR finished the quarter with A$13.54 million cash, implying 3.57 quarters of funding under Appendix 5B metrics. Payments to related parties totalled A$476,000.

Strategically, the quarter showcased growing definition and scale at Tanbreez, momentum toward Wolfsberg readiness, and a materially strengthened balance sheet via CRML monetisation — setting up multiple catalysts into late 2025 and 2026.

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