DEFENSE METALS ANNOUNCES NON-BROKERED PRIVATE PLACEMENT FOR GROSS PROCEEDS OF UP TO $6,000,000
Rare earth junior secures $6m at a discount to fund feasibility study and permitting for its project.
Defense Metals Corp. announced a non-brokered private placement for gross proceeds of up to $6,000,000. Units are priced at $0.14 per unit, consisting of one common share and one-half of a common share purchase warrant. Warrants are exercisable at $0.21 per share for 36 months following closing.
Executive Chairman Guy de Selliers provided a lead order of approximately $500,000, with potential additional insider participation. Net proceeds will advance the Wicheeda Rare Earth Element (REE) project toward a feasibility study, support environmental and social baseline work for permitting, and cover general corporate expenses. Initial closing is expected in October 2026, conditional on raising a minimum of $3,000,000 for the LIFE portion.
Defense Metals Corp. (DEFN) announced a financing round expected to fund its Definitive Feasibility Study (DFS) and ongoing permitting activities. The company issued shares at $0.14, representing a 12-15% discount to the recent trading range of $0.14-$0.16 and a significant discount to the October 2025 placement price of $0.30. This pricing reflects current market conditions and the company's strategy to avoid broker fees by utilizing a non-brokered structure.
Insiders participated in the offering with $500,000 in purchases. The issuance adds up to 21.4 million warrants to the existing 53.4 million outstanding, increasing potential dilution. However, the capital is strictly earmarked for project advancement, and the non-brokered structure saves on finder's fees. The news is routine for a pre-revenue junior in the DFS phase, securing necessary runway without changing the fundamental development timeline or project economics.
Defense Metals Corp. (DEFN) is a pre-revenue junior focused on the Wicheeda Rare Earth Element (REE) project in British Columbia, Canada. The company’s flagship asset, the Wicheeda REE Project, is 100% owned and spans 11,800 hectares, located approximately 80 km from Prince George, BC.
The company completed a Pre-Feasibility Study (PFS) in April 2025 and is currently advancing toward a Definitive Feasibility Study (DFS). The PFS economics indicate a pre-tax net present value (NPV) of approximately US$1.8 billion, an internal rate of return (IRR) of roughly 24.2%, and capital expenditures (CAPEX) of approximately US$1.4 billion. The project targets high-value neodymium-praseodymium (NdPr) precipitate.
The Wicheeda project is the only undeveloped REE project in North America or Europe with proven reserves. It is supported by the British Columbia and Canadian governments.