Tempest Minerals (ASX: TEM) bolsters coffers with AU$1M to advance exploration

Highlights

• Tempest Minerals is set to secure AU$1 million through the sale of 2 million TOK shares.
• Funds generated from the sale will provide additional working capital to advance exploration works at the company’s existing projects.
• The company has an upcoming drill program scheduled for the Remorse copper target, a part of the flagship Yalgoo Project.

Tempest Minerals Ltd (ASX: TEM), an Australian mineral exploration firm, provided an upbeat update on a share sale transaction. The company is selling 2 million shares in Tolu Minerals Ltd (ASX:TOK) to secure AU$1 million (before costs). The sale of part of the profitable investment in TOK will provide additional working capital to advance exploration works at the company’s existing projects. The initial focus is on the Remorse copper target in Yalgoo.

Reflecting on this transaction, the company’s Managing Director Don Smith emphasised, “This sale bolsters Tempest’s coffers ahead of our upcoming exploration works and increases our flexibility to expand our plans if required. TEM has been excited to be part of the journey of Tolu’s listing on the ASX and has borne a nice return on investment for shareholders. We will retain a holding in Tolu that continues to give shareholders exposure to the substantial planned exploration and near-term production upside.”

As part of a seed round for its Initial Public Offering (IPO), the company invested AU$1 million at AU$0.37 per share in Tolu Minerals Limited (September 2022). Subsequently, Tolu achieved a successful listing on the ASX in November 2023. Tolu has since initiated intensive exploration efforts across its range of projects.

Tempest Minerals has a diversified portfolio of projects in Western Australia with significant potential for precious, base, and energy metals. The company is advancing numerous exploration plans across its projects, with an upcoming drill program scheduled for the Remorse copper target, a part of the flagship Yalgoo Project. The company is nearing completion of preparations, having made considerable headway in approvals, program design, procurement of drilling rigs, and other associated activities.

At the time of writing this article (Friday 19 April 1:18 PM AEST), the share price of TEM was AU$0.009.