Small-cap mining hopeful US1 Critical Minerals (USC.ASX) has announced a flurry of activities, including a $1.5 million placement, the appointment of a new director, and plans to accelerate its projects in the US and Tanzania. This comes as the company navigates ongoing legal proceedings related to its US Rare Earth Element (REE) assets. It's worth noting that US1 Critical Minerals was formerly known as Gladiator Resources, as per its latest Annual Report. This rebrand reflects the company's renewed strategic focus.
Placement Details
The company is raising $1.5 million through the issue of 150,000,000 shares at $0.01 per share. Snow Lake Energy is subscribing for $1 million, becoming a 10.38% shareholder upon completion. For each new share, investors will receive one free-attaching option, exercisable at $0.015 for three years, subject to shareholder approval. Settlement is expected on or before 24 December 2023.
New Director
Avi Geller has been appointed as a non-executive director. He is entitled to performance options totaling 60,000,000, which vest upon achieving certain ASX share-price milestones, also subject to shareholder approval. Additionally, 50,000,000 fee options are being issued to consultants, pending shareholder approval.
Use of Funds
US1 Critical Minerals intends to use the proceeds to accelerate its US projects, progress Tanzanian exploration, and cover placement and working capital costs. The company believes that Mr Geller’s appointment will add valuable governance and US capital markets experience to the board. The placement and option issues are being conducted under ASX Rules 7.1 and 7.1A, with general meeting (GM) approvals expected in early 2026.
Legal Proceedings
These announcements arrive amidst ongoing Federal Court proceedings regarding the company’s US REE projects. As announced on 8 December 2025, USC commenced proceedings against Apex USA Resources over California REE tenements, alleging potential repudiation of commitments. Dateline Resources has since been joined as a party, with an interlocutory relief hearing scheduled for 23rd December 2025.
On 12 December 2025, Dateline Resources provided an update on the Colosseum Gold-REE Project, reporting a robust resource base and REE potential similar to the Mountain Pass mine. This announcement also addressed the ongoing legal action commenced by USC Gladiator, with Dateline vowing to defend vigorously.
The Bottom Line
US1 Critical Minerals is actively raising capital and strengthening its board to advance its critical minerals projects. While the company demonstrates its resolve to push forward, investors should consider the potential risks associated with the ongoing legal challenges which could impact the development of its US REE assets. Successful resolution of these legal matters, alongside positive exploration results and effective deployment of capital, will be crucial for the company's future success.
