ChemX Materials (ASX:CMX) (ChemX or the Company), an Australian based high purity critical materials business, is pleased to present its June 2023 quarterly report. The Company is developing a high purity manganese (HPM) Project on the Eyre Peninsula in South Australia along with its high purity alumina (HPA) Project in Perth, Western Australia.

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HIGHLIGHTS

• Strategic Funding Facility Secured from US Institutional Shareholder
• Peter Lee Appointed Chief Executive Officer after strong performance and orderly succession plan from Chief Operating Officer
• The company was pleased to be able to report a critical milestone of 4N (99.99%) HPA 1Purity across an impressive 66 elements.
• Maiden Manganese Resource Supports High Purity Strategy

Strategic Funding Facility Secured from US Institutional Shareholder

During the quarter, the Company executed a Strategic Funding facility with US based Institutional Shareholder for up to $6m to maintain momentum of its high purity alumina (HPA) and high purity manganese (HPM) projects.

The $6m financing package was agreed via the issue of unsecured convertible notes (Convertible Notes) to ChemX’s existing US Institutional Shareholder, Mercer Street Global Opportunity Fund, LLC, a US-based investment fund managed by Mercer Street Capital Partners, LLC (together, the Investor), who has been a strong supporter of the Company since the IPO in January 2022.

The Company initially drew $500,000 through the issue of 600,000 convertible notes (Tranche 1) under the agreement with a further $1.7m through the issue of 2,040,000 convertible notes for a total of 2,640,000 convertible notes (Tranche1 and 2). following the close of the quarter after shareholder approval of the facility was obtained on 26 September 2023. Subject to shareholder approval and agreement between the parties, issue the investor up to a further 4,560,000 convertible notes for a subscription amount of $3,800,000 (Further Tranches).

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