Science and software technology solutions developer Chrysos Corporation Ltd (ASX:C79) has received binding commitments to raise $75 million.
The Placement follows Chrysos’ recently announced global partnership with one of the world’s largest gold mining companies, Barrick Gold Corporation and fast-growing international laboratory business, MSALABS.
Under the partnership, and starting with the deployment of three MSALABS- contracted units to Barrick’s Nevada Gold Mines operation, Chrysos has the potential to deploy up to 13 PhotonAssay units to Barrick mine sites across four continents by the end of 2025.
Since listing on the ASX, Chrysos has delivered strong progress towards its vision of becoming the world’s leading provider of innovative assay services and technologies,” Managing Director and CEO, Dirk Treasure, said.
“Barrick’s decision to adopt PhotonAssay technology globally represents a watershed moment in Chrysos’ growth and provides further validation of our technology as a superior alternative to slower, more hazardous and harmful assaying processes. The Company remains incredibly optimistic about the outlook for PhotonAssay and we look forward to continuing the delivery of our faster, safer, more accurate and environmentally-friendly assaying solution to miners globally.
“The funds raised from the Placement ensure Chrysos is well-capitalised to support the deployment of contracted PhotonAssay units and, together with our potential to expand debt facilities, significantly underpin the Company’s growth ambitions.
Given the strong near-term deployment outlook and a growing sales opportunity pipeline, funds raised from the Placement will be applied primarily to support the deployment of new PhotonAssay units. This includes, subject to the provision of new debt, the potential expansion of manufacturing capacity beyond 18 units per year over the medium-term.
The funds also strengthen the company’s balance sheet, which in turn is expected to assist with its discussions with lenders, ensuring that it is best placed to optimise its capital structure moving forward.
