The capital raising was significantly oversubscribed, demonstrating healthy support from shareholders.
The funds will be applied towards funding the drilling program for the company’s Red Valley Lithium Project and identification of new opportunities.
Last month, the company entered into an exploration and earn-in agreement in respect of the Red Valley Project, a lithium brine project in Utah, U.S.
The Red Valley Project shares a striking geologic similarity to Clayton Valley in Nevada, having endured the same geologic processes to generate lithium brines.
The Clayton Valley remains the sole source of lithium production in the U.S.
Under the earn-In agreement, Red Mountain will fund initial drilling and chemical analysis of the Red Valley Project.
The total cost of initial drilling, analysis and tenement applications is estimated to be between US$200,000 and US$325,000.
If commercial grade lithium is reported in brines, Red Mountain has the right to acquire 51% of the project for US$250,000.
Additionally, the company will also continue to optimise the Batangas Gold Project in the Philippines.
A pre-feasibility study in June 2016 for the Batangas project estimated $46 million in free cash flow during the first 7 years of production.