Highlights

  • Neo Energy raised GBP 2.5 million through new share placements at 0.9 GBX per share as part of an GBP 8 million strategic funding deal.
  • The Beisa Mine contains 1.2 million ounces of gold and 26.9 million pounds of uranium, with operations expected to restart following assessment and refurbishment.
  • The Strategic Investor may provide an additional GBP 6.5 million in convertible loan funding and appoint a board representative, subject to approvals.

Neo Energy (LSE:NEO), a near-term uranium developer, has secured a strategic funding agreement with a UK-based investment group for up to GBP 8 million to support the advancement of its Beisa Uranium and Gold Project in South Africa. The funding will assist ongoing implementation assessment work and prepare the Beisa Mine, including the Beatrix 4 Shaft Complex and processing facilities, for production of uranium and gold.

Strategic Funding Agreement Reached

Neo Energy has received an initial GBP 1.5 million from the Strategic Investor through a placement of 166,666,666 new ordinary shares at 0.9 pence (GBX) per share. In addition, the Company raised a further GBP 1 million via 111,111,111 ordinary shares, bringing the total raised in this initial placing to GBP 2.5 million. CMC Markets UK Plc, trading as CapX, acted as sole placing agent for the transaction.

The Issue Price represents a 16.1% premium over the closing mid-market price of 0.775 pence per existing share on 16 January 2026. Under the Investment Agreement, the Strategic Investor has the right to provide a further GBP 6.5 million through a convertible loan, priced at a 10% discount to the 10-day volume-weighted average price following South African regulatory approvals, with a 5% coupon.

Beisa Mine Acquisition and Development

The funding supports Neo Energy’s ongoing work to acquire the Beisa Mine from NYSE-listed Sibanye-Stillwater, pending regulatory approvals expected in Q1 2026. The Beisa Mine, located in the Witwatersrand Basin, Free State Province, contains measured and indicated resources of 1.2 million ounces of gold and 26.9 million pounds of uranium. Operations at Beisa began in the 1980s, producing both metals for over three decades until the mine was placed in care and maintenance in late 2023.

The implementation assessment programme has commenced, with initial phases focusing on site re-establishment, shaft refurbishment, workforce recruitment, equipment assessment, underground development review, gold plant recommissioning, and uranium circuit design finalisation. Neo Energy’s management and Sibanye-Stillwater’s local team will conduct on-site assessments later this month.

Governance and Funding Structure

Under the Investment Agreement, the Strategic Investor may nominate a Non-Executive Director to Neo Energy’s board and appoint a board observer, provided they maintain at least a 5% shareholding. The Company also arranged to repay GBP 1.176 million of existing debt through the issuance of 130,693,548 ordinary shares at 0.9 GBX per share.

Neo Energy continues to engage with corporate and strategic advisors in both the UK and South Africa, along with joint brokers CMC and Shore Capital Stockbrokers Limited, to secure the necessary debt, structured finance, and equity funding for the completion of the Beisa Mine acquisition.

NEO shares jumped 6.58% to GBX 0.84 per share at the time of writing on 19 January 2026.