Aberdeen Minerals Secures $7 Million Equity Financing

Aberdeen Minerals, a U.K.-based company specializing in the exploration and development of battery metal deposits, has secured an equity financing of up to £5.5 million (~$7 million). This financing aims to bolster company’s mineral exploration programs in North East Scotland, specifically targeting deposits of nickel, copper, and cobalt. These metallic raw materials play a crucial role in battery production and electrification.

Central Asia Metals plc (CAML) made a conditional cornerstone investment of £3 million (~$3.8 million), to acquire a 28.7% shareholding in Aberdeen Minerals at a rate of 8.5 pence per share. Additionally, warrants will be granted to CAML, to enable them to further invest an additional £2 million (~$2.5 million) at 11 pence per share, potentially increasing their ownership stake to 37.8%.

However, the completion of CAML’s investment is subject to customary closing conditions, including the approval of certain resolutions by Aberdeen Minerals’ shareholders, clearance under the U.K. National Security and Investment Act 2021, and granting of merger clearance as per the Republic of North Macedonia’s Law on the Protection of Competition.

On the basis of the full financing being received, including the exercise of CAML’s warrants, Aberdeen Minerals has outlined plans for its exploration activities. These plans include conducting approximately 10,000 meters of drilling in two phases at the Arthrath Project, with the aim of determining the continuity of high-grade mineralized intersections identified at depth.

“The funding announced today provides a strong financial platform to progress our mineral exploration and development work in partnership with Aberdeenshire landowners, and to pursue local economic growth directly linked to the raw material needs of an energy transition.” Said Fraser Gardiner, Chief Executive Officer of Aberdeen Minerals.

According to Mercom’s Annual and Q4 2023 Funding and M&A Report for Storage & Smart Grid, Venture capital (VC/PE) funding in Energy Storage in 2023 was the highest ever recorded, increasing 59% year-over-year (YoY), with $9.2 billion in 86 deals compared to the $5.8 billion raised in 96 deals in 2022.

Lilac Solutions, a lithium extraction technology provider, recently raised $145 million in Series C funding, bringing Lilac’s total capital raised to $315 million. The financing was led by Mercuria, Lowercarbon Capital, and Breakthrough Energy Ventures, with participation from all major shareholders, including T. Rowe Price Association, Inc., Engine Ventures, Aventurine, Presidio Ventures (a Sumitomo Corporation Group Company), and BMWi Ventures amongst others.