Victory Metals Limited (ASX: VTM) has delivered a landmark update with the release of its latest announcement, highlighting a successful $11.5 million institutional placement to accelerate exploration and development at its flagship North Stanmore Heavy Rare Earth Elements (HREE) Project in Western Australia.
The funding injection, secured from institutional, professional, and sophisticated investors, will allow the Company to target ultra-high heavy rare earth zones, advance scandium oxide production, and push forward feasibility studies. The raise comes on the back of Victory’s robust August 2025 Mineral Resource Estimate (MRE) at North Stanmore, which positions the project as Australia’s largest indicated clay-hosted heavy rare earth deposit.
Figure 1: Location map of the North Stanmore Project within the Cue Region, WA.
Details of the $11.5 Million Placement
Victory has confirmed firm commitments to raise $11.5 million through the issue of approximately 8.5 million new fully paid ordinary shares at $1.35 per share. This represents a 15% discount to the 15-day VWAP prior to the trading halt on 25 August 2025.
Bell Potter Securities acted as sole lead manager and bookrunner for the placement and will receive a cash fee of up to 6% (plus GST), along with 1,000,000 unlisted options exercisable at $2.70 over a three-year period.
Settlement of the new shares and options is scheduled for 29 August 2025, with normal trading to commence on the ASX on 1 September 2025.
The funds raised will be directed toward:
- Drilling of ultra-high heavy rare earth zones containing up to 83% HREO/TREO.
- Scandium oxide production initiatives.
- Advancing the North Stanmore feasibility study.
- General working capital and associated costs of the placement.
North Stanmore Mineral Resource: A Nationally Significant Asset
Victory’s August 2025 MRE confirmed 320.6 million tonnes at an average grade of 510ppm TREO + Sc2O3, with 176.5Mt in the Indicated category. Notably, the deposit contains a high proportion of heavy rare earth oxides (HREO), making up up to 83% of TREO in specific zones.
This resource establishes North Stanmore as:
- Australia’s largest indicated clay-hosted HREE resource.
- One of the world’s most advanced heavy rare earth clay projects.
- A globally significant deposit with a mix of rare earths, scandium, hafnium, and gallium.
Figure 2: Table summarising North Stanmore August 2025 Mineral Resource Estimate.
Strategic Funding and Government Support
While the Company confirmed it would not proceed with a previously proposed loan from Sanabil Investments LLC, it continues to pursue strategic and government-backed funding avenues. Notably, Victory has secured a US$190 million Letter of Interest from the Export-Import Bank of the United States (EXIM), signalling strong international support for the project’s development.
This funding optionality provides Victory with flexibility to progress its project without restrictive financing terms, ensuring shareholder value is protected.
Management Commentary
Victory’s Chief Executive Officer and Executive Director, Brendan Clark, said the successful raise marks a turning point in the development of North Stanmore:
“This raise will support the momentum in development of North Stanmore as it emerges as one of the world’s most advanced heavy rare earth clay projects and is already Australia’s leading heavy rare earth project. I thank existing shareholders for their continued support, and we welcome institutional, professional and sophisticated investors.”
Figure 3: Victory Metals’ Chief Executive Officer and Executive Director, Brendan Clark.
Rare Earths Market Context: Growing Global Demand
Victory’s strong positioning comes at a time of heightened global focus on rare earth elements (REEs), which are essential for electric vehicles, renewable energy, defence technologies, and advanced electronics.
The global REE market was valued at USD 3.39 billion in 2023 and is projected to grow from USD 3.74 billion in 2024 to USD 8.14 billion by 2032, reflecting a CAGR of 10.2% during the forecast period.
- Asia-Pacific dominates the sector, holding an 86.14% market share in 2023, underpinned by China’s strong production base.
- In the United States, the market is forecast to reach USD 394.39 million by 2032, supported by a robust pipeline of R&D investment and government initiatives to secure supply chains.
With heavy rare earths such as dysprosium and terbium critical for permanent magnets used in EVs and wind turbines, projects like North Stanmore are emerging as strategic assets in global supply diversification.
Scandium and Critical Metals Potential
In addition to rare earths, Victory’s North Stanmore project contains scandium, hafnium, and gallium, all classified as critical minerals by governments worldwide.
Scandium, in particular, has growing applications in:
- High-strength aluminium alloys for aerospace and automotive.
- Solid oxide fuel cells for clean energy systems.
- Next-generation manufacturing such as 3D printing.
The inclusion of scandium oxide production in the placement funding plan demonstrates Victory’s intent to maximise the value of its multi-commodity resource base.
Investor’s Outlook: Strong Momentum in VTM Shares
Victory Minerals’ (ASX: VTM) share price performance has been one of the standout stories on the ASX in 2025, reflecting growing investor confidence in the Company’s strategic vision and project execution.
ASX Share Performance (as of 26 August 2025, 12:46 pm AEST):
- Last Price: $1.455
- 1 Month: +18.78%
- 2025 YTD: +259.26%
- 1 Year: +309.86%
- Market Cap: $181.84 million
The Company’s significant rerating reflects investor recognition of North Stanmore as a globally significant rare earths project, coupled with strong institutional support and favourable market dynamics.
Conclusion
Victory Metals’ $11.5 million placement provides the Company with the financial capacity to accelerate exploration, expand scandium oxide initiatives, and advance feasibility work at its flagship North Stanmore Project. With Australia’s largest indicated HREE clay resource, growing strategic interest, and the support of global funding channels, Victory is emerging as a pivotal player in the rare earths and critical minerals sector.
Amid strong market fundamentals, including a forecast doubling of the global rare earths market by 2032, Victory Metals is well-positioned to deliver long-term value to shareholders while supporting the global transition to electrification and clean energy.
