• NexMetals Mining plans a C$65 million ($46.5 million) equity placement to fund its Selebi and Selkirk nickel projects in Botswana.
• The proceeds will cover a conditional milestone payment for the mine acquisitions and advance exploration and development activities.
• The projects aim to restart nickel production in Botswana, which ceased in 2016.

NexMetals Mining announced its intention to launch a C$65 million (approximately $46.5 million) equity placement in a note published Tuesday, October 28. The company expects the transaction to close by Thursday, November 13, primarily to fund the company’s operations in Botswana, specifically advancing the Selebi and Selkirk nickel projects.

The company detailed the planned use of proceeds for its asset acquisitions and ongoing work.

“The net proceeds of the offering are expected to be used to fund the first conditional milestone payment under the Asset Purchase Agreement (“APA”) for the Selebi and Selkirk mines, which is tentatively scheduled before the end of 2025, to advance exploration and development activities of the Company's mineral assets in Botswana [...],” the note stated.

NexMetals acquired Selebi and Selkirk through sales agreements concluded between 2021 and 2022 with former owner BCL Limited. Although the announced amount should cover the planned acquisition payments, the company did not specify the specific share allocation for this usage. The firm also did not detail the specifics of planned exploration and development work. The finalization of the equity placement remains conditional on necessary regulatory approvals.

This financing push coincides with renewed efforts to bring the assets back online and address national mineral output.

The company seeks to restart production at the two mines. Previous exploration work conducted for this purpose already resulted in updated resource estimates in 2024. The firm identified some 250,000 tonnes of nickel at Selebi. Selkirk, in turn, demonstrates a potential of 108,000 tonnes.

Advancing the projects to effective commissioning would broadly mark the revival of nickel production in Botswana. This development contributes to the diversification efforts of a national mining sector still dominated by diamonds. Official data confirms the country has not produced the strategic metal since 2016, the year the Botswana government liquidated BCL Limited.

This article was initially published in French by Aurel Sèdjro Houenou

Adapted in English by Ange Jason Quenum