Rare Element Resources (TSX-V:RES, AMEX:REE) received a healthy boost to its cash pile from the exercise of warrants and stock options, and confirmed it could receive quite a bit more from additional warrants “in-the-money”.
The company received an additional $5.84 million between July 1st and October 31st, boosting its cash reserves to $12.6 million. The company has a further 4.486 million warrants and options outstanding which if excercised, would bring in a further $11.6 million.
The company’s key focus is the advancement of the Bear Lodge property, a rare earth elements and gold project.
In September Rare Element Resources released the findings of a scoping study completed at Bear Lodge, whch is located in north-eastern Wyoming. The study estimated an annual rare-earths oxide recovery of 11,400 tons over an initial 15-year mine life. Capital expenditure (capex) was calculated to be $87 million to build a 1,000 tonnes per day operation with an on-site hydrometallurgical plant.