Eclipse Raises $4 Million to Accelerate Drilling and Resource Upgrades at the Greenland Rare Earths Project

Eclipse Metals Limited (ASX:EPM) (Eclipse or the Company) is pleased to announce that it has received firm commitments to raise $4,000,000 (before fees) through a placement to institutional, professional and sophisticated investors (Placement). The placement was strongly supported by new institutional and existing investors, reflecting continued confidence in Eclipse’s rare earths strategy in Greenland and its path to value creation.

Global supply chains for rare earth elements (e.g. NdPr, Dy, Tb) remain highly concentrated, with China controlling most of the processing and production of permanent magnets. The recent tightening of Chinese export controls on rare earths and magnet-related technologies has heightened concerns about security of supply in the EV, wind and defense sectors. This dynamic underlines the strategic value of a diversified, transparent offering from jurisdictions such as Greenland and Australia and underpins Eclipse’s focus on disciplined drilling, laboratory testing and JORC-compliant resource work programs.

Highlights

• Highly supported placement of $4 million to new and existing institutional, professional and sophisticated investors.
• The funds will accelerate ongoing diamond drilling, laboratory testing and the JORC-compliant resource upgrade at the Grønnedal-Ivigtût Rare Earth and Critical Minerals Project in Southwest Greenland.
• Supports preparation for a potential dual listing on NASDAQ and related U.S. regulatory compliance initiatives.
• Strengthens Eclipse’s balance sheet to fuel growth plans, while maintaining full flexibility within the Greenland and Australian portfolios.

Placement details

In connection with the Placing, Eclipse will issue 133,333,334 fully paid ordinary shares (Shares) at an issue price of $0.03 per share, together with one (1) subsequent option (Option) for every three (3) Shares subscribed. Each Option will be exercisable at $0.05 and will expire two (2) years from the date of issuance.

The placement will take place within the Company’s existing placement capacity under ASX Listing Rules 7.1 and 7.1A and will not require shareholder approval.

Peak Asset Management acted as Lead Manager for the Placing and 26,666,667 Options will be issued subject to completion.

Use of Funds

The money raised will be spent as follows:

• Drilling and testing: completion of the 2025 diamond core drilling program in Grønnedal and Ivigtût, including laboratory testing and metallurgical test work in support of the next upgrade of the JORC Mineral Resource Estimate.
• Technical studies and regulatory work: promoting environmental, social and technical studies in preparation for development permits.
• US Listing and Compliance: involvement of US advisory teams to drive NASDAQ readiness and related governance compliance.
• General working capital: to cover business, operational and placement-related costs.

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