Neotech starts drilling at H/K, arranges $4M financing
Executive Summary
- Neotech Metals has commenced its 2025 Hecla‑Kilmer (H/K) exploration program, targeting up to 10,000 m of diamond drilling across the Pike, Northeast and South Rim zones, with results expected in early 2026.
- The company launched a non‑brokered private placement of up to 11,428,571 Critical Minerals Flow‑Through (CMFT) shares at $0.35 per share, aiming to raise up to $4 million in gross proceeds.
- Proceeds from the financing will fund the ongoing drilling, environmental monitoring, stakeholder engagement and further data verification for the H/K rare‑earth/niobium project.
Key Details
- Exploration Program
- Second field exploratory diamond drilling campaign for the niobium‑ and REE‑bearing apatites at Hecla‑Kilmer, Ontario.
- Planned up to 10,000 m of new drilling in Q4 2025 across Pike, Northeast and South Rim zones.
- Completes a total of 12 new drill holes (2024) added to 24 legacy holes drilled by VR Resources.
- Program designed with Dahrouge Geological Consulting to support preliminary resource definition.
- Mobilized crews/equipment; environmental monitoring, baseline assessments and stakeholder engagement underway.
- Historic unsampled cores from the VR campaign are being re‑analyzed in parallel.
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Assay results anticipated early 2026, intended to advance toward a maiden resource estimate.
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Financing – Critical Minerals Flow‑Through Offering
- Non‑brokered private placement of up to 11,428,571 CMFT shares at $0.35 per share.
- Gross proceeds target: up to $4 million.
- Each CMFT unit includes ½ common share purchase warrant; a full warrant allows purchase of one additional common share at $0.45 for 24 months from issuance.
- Finder’s fees: 7 % cash and 7 % finder warrants, exercisable under the same terms as unit warrants.
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Use of proceeds: fund drilling, environmental work, data verification, stakeholder engagement, and further development of the Hecla‑Kilmer REE/niobium project.
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Management Commentary
- CEO Reagan Glazier highlighted the strategic importance of a North American source of critical minerals and the potential processing advantages of apatite‑hosted rare‑earth mineralization.
Notable Quotes
“We’re very excited to be advancing this strategic rare‑earth and niobium asset within Ontario at a time when global markets are actively seeking secure, North American sources of critical minerals… With drilling now under way, we’re positioning Neotech to deliver meaningful technical and economic milestones that could set a new benchmark for rare earth development in Canada.” – Reagan Glazier, Chief Executive Officer
All forward‑looking statements are subject to risks and uncertainties; actual results may differ materially.