(Agence Ecofin) - Tantalus Rare Earths AG, mining company listed on the Düsseldorf Stock Exchange, will raise €6 million, by issuing 750,000 new shares, to support its rare earths project in North-East Madagascar.
On 8th July, the company disclosed having appointed Doonberg Capital Ltd as financial advisor who will also assist them in financial packaging for this project where Tantalus has signed a ten-year off-take contract with the German company ThyssenKrupp.
Tantalus Rare Earths AG aims to finalise the financing latest by the end of August, in order to start production by mid-2016.
The project covers 300km2 in the Eastern half of the Ampasindava peninsula in the province of Antsiranana.
According to the offtake contract terms, ThyssenKrupp will purchase every year 30% of the production, being 3,000 metric tons when it reaches full production.