Fulcrum Metals plc has secured £6 million funding with institutional investor YA II PN Ltd to advance its Teck-Hughes and Sylvanite gold mine tailings projects in Ontario, Canada.
PILOT PLANT
The financing comprises a combination of equity and convertible debt funding as well as an at-the-market subscription facility, arranged with Fulcrum’s broker Clear Capital Markets Ltd.
Fulcrum said it would use the proceeds to secure long-lead equipment, a pilot plant site and engage key services for the delivery, fabrication and assembly of the plant.
The plant will enable testing to produce technical, environmental and economic data ahead of a final investment decision on its commercial use and future permitting.
The convertible loan terms include a 30% premium to the prevailing share price, aligning investor and shareholder interests, added Fulcrum.
The company added it would also evaluate non-core asset monetisation and potential government funding.
The fundraise includes a £500,000 cash subscription, at a price of 8.75 pence per ordinary share, and convertible into shares at 11.375p per share.
Additionally, Fulcrum has agreed an unsecured convertible loan note, of up to £5m, which will be divided into two equal amounts of £2.5m.
The funds will be issued in tranches of £1m, £1.5m and £2.5m, subject to conditions and shareholder approval.
The second loan is convertible into ordinary shares at a price equivalent to 130% of the volume-weighted average price (VWAP) of the ordinary shares on the trading day prior to the advance of the second loan.
Fulcrum has also secured a further £500,000 equity subscription at a price which is equal to the VWAP of the ordinary shares on the trading day immediately prior to the completion date of the second loan.
The company expects admission of the first equity subscription shares, totalling 5,714,286 new ordinary shares, on 11 May 2026.
Shareholders are due to vote on 22 May 2026 on the issue of shares and warrants associated with the funding package.
YA is managed by investment manager Yorkville Advisors Global LP.
Fulcrum noted that Yorkville has to date executed transactions totaling approximately US$7.5 billion with more than 750 companies in 22 countries.