Halifax-based E-Tech Resources Inc. has secured new funding to advance exploration at its flagship Eureka Rare Earths Project in Namibia, raising C$950,000 (approximately N$12.9 million) through a private placement.
The financing, completed at C$0.05 (N$0.68) per share, saw the issuance of 19,000,000 common shares and reflects growing investor confidence in one of southern Africa’s emerging rare earth deposits.
Proceeds from the placement will be directed primarily toward advancing exploration at Eureka, alongside working capital and general corporate purposes.
Numus Capital Corp., a registered Exempt Market Dealer, acted as agent for the financing, earning a cash fee of C$65,800 (N$895,000) and 1,316,000 broker warrants, equal to 7% of proceeds raised from investors introduced by the firm.
Each warrant entitles the holder to acquire one common share at C$0.05 (approximately C$0.68) within 24 months of its issuance.
Wade Dawe, one of E-Tech’s largest shareholders, subscribed for 4,000,000 shares, increasing his ownership from 15.4% to 16.2%. An officer of the company also subscribed for 200,000 shares.
Under Canadian securities law, the transactions constitute related-party dealings but qualify for exemptions, as they did not exceed 25% of E-Tech’s market capitalisation.
All securities issued are subject to a four-month-plus-one-day hold period.
The placement follows E-Tech’s annual and special meeting of shareholders on September 18, 2025, at which Christopher Drysdale, Frances Wall, and Carl Sheppard were elected to the board of directors.
The company welcomed Sheppard for the strategic value he brings and thanked departing directors Jim Megann, John Philipott, and Ken Marshall for their service.
In parallel, E-Tech granted 3,850,000 stock options to directors, officers, and consultants.
Options are exercisable at C$0.10 (N$1.36) per share and vest in stages over two years, with consultants receiving part of the allocation to provide technical expertise for the next phase of exploration.
E-Tech’s Eureka Rare Earths Project, located 250 km northwest of Windhoek and 140 km east of Walvis Bay in Namibia’s Erongo Region, has been the company’s cornerstone asset since its acquisition in 2017.
The deposit sits within Exclusive Prospecting Licence (EPL) 6762, which covers farms Eureka 99 and Sukses 90.
In addition, E-Tech has signed a definitive agreement to acquire an 85% interest in the adjacent EPL 8748, which surrounds the current licence area and expands the project’s exploration footprint.
The Eureka deposit lies within the Southern Central Zone of the Neoproterozoic Damara Belt, a well-known mineral province that also hosts several of Namibia’s operating mines.
Mineralisation is hosted in a series of monazite-bearing carbonatite dykes, a geological setting favourable for high-value light rare earth elements (REEs), such as neodymium and praseodymium, which are critical to permanent magnet technologies used in electric vehicles, wind turbines, and other clean energy applications.
Since acquiring the project, E-Tech has completed multiple drilling campaigns that established the presence of REE-bearing monazite across several zones.
The company has advanced the project from early exploration to resource definition, releasing a maiden mineral resource estimate in 2021.
That resource, prepared in compliance with National Instrument 43-101, defined 310,000 tonnes of contained rare earth oxides (REO) within shallow, near-surface mineralisation.
Further drilling has since expanded known mineralised zones, with the company reporting high-grade intersections of up to 10% total rare earth oxides (TREO) in some intervals.
The ongoing exploration program funded by the latest placement is aimed at expanding the resource base, improving confidence levels from inferred to indicated categories, and testing extensions into EPL 8748.
E-Tech’s initial focus is on defining a resource suitable for open-pit mining with relatively simple beneficiation, leveraging monazite’s established metallurgical profile. Pilot-scale metallurgical test work has confirmed the potential for conventional processing routes, while future work will focus on optimisation and downstream recovery options.
While reserves have yet to be declared pending a pre-feasibility study, the size and grade of the Eureka resource position it as one of the more advanced light rare earth prospects in southern Africa.
The project is strategically significant given the global supply chain’s heavy dependence on China for REE production. Western nations, including the United States, Japan, and the European Union, have placed rare earths on their critical minerals lists, creating opportunities for projects like Eureka to attract long-term strategic partnerships and offtake agreements.
E-Tech is pursuing what it describes as a dual-commodity strategy, advancing both rare earths and nuclear fuels. This aligns with the broader global energy transition, as rare earths are essential for clean technologies while nuclear fuels underpin reliable baseload power generation. In Namibia, a country already home to globally significant uranium production, this approach enhances the company’s ability to align with national policy priorities and diversify future revenue streams.
With N$12.9 million in new funding, E-Tech Resources is well-positioned to push forward with exploration and technical studies at Eureka.
The following 12 to 18 months are expected to focus on expanding the resource base, advancing metallurgical test work, and laying the groundwork for economic studies. The combination of insider support, new board expertise, and Namibia’s favourable mining environment provides the company with a platform to transform Eureka from a promising exploration project into a strategic rare earth development for global markets.
