Lithium explorer with a difference Pan Asia Metals has exceeded its minimum $4 million IPO requirement – giving investors an opportunity to scoop up more shares until close of business today.
The company is then scheduled to begin trading on the ASX under the ticker code PAM on 30 September.
Pan Asia managing director Paul Lock said he was “delighted” the IPO had been successfully completed particularly during challenging economic times brough on by COVID-19.
The ASX listing will give investors an opportunity to gain exposure to its low-cost South East Asia assets and the region’s accelerating battery metal and electric vehicle markets.
Mr Lock said the offer enables Pan Asia to “rapidly move forward with its project development plans”.
“Pan Asia has an exciting future and we look forward to updating our shareholders on milestones and developments as they are achieved.”
Pan Asia’s unique strategy
The company’s strategy is to develop its low-cost assets in South East Asia, which is also a highly cost competitive region that hosts sophisticated industrial economies.
Unlike other lithium hopefuls which have projects in Australia, South America and Africa, Pan Asia plans to unlock the potential of its lepidolite-rich and tungsten projects in Thailand.
The company’s strategy is to then add further value by developing downstream processing operations in either Thailand or Malaysia. The refined material will be sold direct into Asia’s market.
In addition to hosting a sophisticated industrial economy, Thailand is home to South East Asia number one auto industry, which is focused on producing electric vehicles.
“Operating in South East Asia, especially in Thailand and Malaysia, gives the company access to modern industrial economies with globally competitive cost environments,” Mr Lock explained.
“Our strategy is simple, we seek to exploration and development assets, which have the potential to be positioned in the lowest or leading third of the cost curve, and which position the company for downstream value adding opportunities,” he said.
“Cost curve positioning is paramount in our decision making.”
Pan Asia’s highest priority assets comprise the Khao Soon tungsten project and Reung Kiet lithium project – both located in Thailand’s south.
Mr Lock noted the assets also fit with the company’s downstream strategy and proximity to end-user markets.