Lomiko Metals announces C$800,000 private placement for graphite project

MONTREAL - Lomiko Metals Inc. (TSX.V:LMR), currently trading at C$0.07 and considered undervalued by InvestingPro models, announced Monday a non-brokered private placement to raise C$800,000 through the issuance of 8 million units priced at C$0.10 each. Each unit will consist of one common share and one-half common share purchase warrant, exercisable for three years at C$0.15.

According to the company’s press release statement, proceeds will fund pre-feasibility engineering studies for its La Loutre natural flake graphite deposit in Quebec, support strategic initiatives including bulk sampling and anode piloting, and provide general working capital. The micro-cap company, with a market capitalization of just under C$4 million, maintains a healthy current ratio of 1.84x. InvestingPro data shows the stock trading at just 0.39 times book value, suggesting potential value opportunity for investors seeking exposure to the graphite sector.

Gordana Slepcev, CEO, President and Director of Lomiko Metals, stated the company remains on schedule to complete the pre-feasibility study by the end of Q1 2026.

The securities issued will be subject to a four-month and one-day hold period from their issuance date. Completion of the financing requires regulatory approvals, including from the TSX Venture Exchange.

Lomiko’s primary asset is the La Loutre graphite project located 180 kilometers northwest of Montreal. The property consists of 76 mineral claims covering 4,528 hectares. According to a May 2023 mineral resource estimate, La Loutre contains 64.7 million tonnes of indicated mineral resources averaging 4.59% graphitic carbon, representing 3.0 million tonnes of graphite.

The company also holds interests in seven early-stage exploration projects in southern Quebec and a 49% stake in the Bourier Project, as well as the Yellow Fox Property in Newfoundland. The stock has seen a challenging year, with a total return of -20% year-to-date, though InvestingPro analysis indicates the company maintains a "Fair" overall financial health rating.

In other recent news, Lomiko Metals Inc. has received regulatory authorization to extract a 250-tonne bulk sample from its La Loutre Graphite deposit in Quebec. This permit, known as Autorisation pour travaux d’exploration à impacts, enables the company to advance its sampling work after local holiday and hunting seasons conclude this fall. The bulk sample aims to support the scaling up and confirmation of processes for producing anode material for batteries. Lomiko Metals plans to initiate some non-invasive work and mapping during the summer months. These developments mark a significant step forward in the company’s exploration activities. The regulatory approval reflects progress in Lomiko Metals’ efforts to enhance its operations at the La Loutre site.

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