QEM (ASX:QEM) Raises $2.4M For Julia Creek Project, QLD

QEM (QEM) has tapped investors for $2.4 million to fund exploration work at its Julia Creek vanadium-oil project in Queensland.
The company is set to issue about 11.7 million new shares at 20.5 cents each to raise the funds.
QEM said the cash boost from the placement meant it was fully funded through to Julia Creek’s planned pilot plant testing program, and the money will take it to the next phase of pre-feasibility studies (PFS) for the project.
Non-executive Director David Fitch has subscribed for $710,000 worth of shares to maintain his 29 per cent shareholding in the company post-dilution, though this will be subject to shareholder approval.
QEM Managing Director Gavin Loyden said the support for the placement — particularly from Mr Fitch — was a “strong endorsement” of the company’s Queensland exploration strategy.
“The funds will allow us to complete our oil and vanadium pilot program and advance our PFS work through the next phases of project development,” Mr Loyden said.
The new shares are expected to be issued next Monday.
QEM shares closed 10 per cent lower at 22 cents each this afternoon. The company has a $25.5 million market cap.