Alara Resources Limited (AUQ) has announced a non-renounceable entitlement offer to raise up to approximately $3.84 million. The company is offering eligible shareholders the opportunity to subscribe for three new shares for every twenty currently held, at an issue price of $0.032 per share.

Proceeds from the capital raise are earmarked primarily for exploration activities across the company’s ophiolite tenements in Oman, specifically focusing on the Block 22B, Block 8, and Daris projects. The remaining funds will be allocated to general administrative expenses and working capital.

The financing structure includes partial underwriting of up to $1.6 million by major shareholder Al Tasnim Infrastructure LLC. Additionally, director Vikas Jain has provided an irrevocable commitment to take up his full entitlement and subscribe for shortfall shares, totaling $1.5 million. Both the underwriting agreement and director commitments remain subject to shareholder approval at a general meeting slated for 7 August 2026.

Executive Chair Peter Lee highlighted the strategic intent behind the raise:

"The current Entitlement Offer is intentionally designed to achieve three key objectives: firstly, to reward our longstanding shareholders with the opportunity to participate in significant potential upside; secondly, to share the findings of our independent technical and expert reports with the market; and finally, to raise modest funds to support our exciting exploration plans across our highly prospective tenements in FY27."

— Peter Lee, Executive Chair

The Entitlement Offer and Shortfall Offer are scheduled to close on 13 August 2026.

Read the full announcement: Entitlement Offer to Raise Up To $3.84 Million