American Tungsten & Antimony (ASX: AT4) Completes Del Sol Refinery Acquisition

American Tungsten & Antimony has completed its acquisition of Nexus Metals and the Del Sol hydrometallurgical refinery in Nevada, giving the company direct ownership of US processing infrastructure central to its antimony and tungsten strategy.

Del Sol has previously demonstrated production of high-purity antimony metal from US-mined material. AT4 now plans to advance antimony processing and product qualification while studying an expansion into higher-value antimony products and tungsten ammonium paratungstate (APT) processing.

Equity-heavy acquisition structure

AT4 paid US$2.6 million in cash and issued about 1.024 billion ordinary shares to complete the Nexus and refinery transactions. It also issued 255.7 million options exercisable at $0.10 by October 2028 and 803.6 million performance rights, each capable of converting into one ordinary share.

Half the performance rights vest if the refinery processes at least two tonnes of ore per day over 10 continuous operating days. The remainder vest following the first delivery of antimony metal ingots with at least 99% purity and an independently determined value of at least A$15,000 per tonne.

The substantial equity component means the acquisition’s impact extends beyond its US$2.6 million upfront cash cost. Half the issued shares and options, and all performance rights and resulting shares, are under voluntary escrow until the earlier of six months after completion or completion of AT4’s proposed Nasdaq listing.

Further payments tied to operating targets

Contingent refinery payments of up to US$20 million remain in place. These become payable progressively if Del Sol sustains processing rates ranging from 10 to 18 tonnes per day for 60 consecutive days. Del Sol may elect to receive those payments in cash or shares, with any equity issuance subject to applicable ASX requirements and shareholder approval where required.

No milestone payment became due on completion. AT4’s near-term work includes progressing refinery operations, qualifying products with prospective customers and advancing a Metso engineering study into proposed tungsten APT processing.

White Spar remains conditional

The separate acquisition of the White Spar antimony project interests in Arizona has not completed and remains subject to third-party consents and title confirmations. If it proceeds, AT4 will pay US$399,990 and issue about 33.8 million additional shares.

A further US$20 million milestone would apply only if White Spar completes and subsequently establishes at least 40,000 contained tonnes of antimony in an Indicated or higher resource, at a minimum 4% antimony cut-off grade, alongside a positive definitive feasibility study.

AT4 restructured the US component to acquire the underlying assets directly rather than shares in the existing project companies. The company said this should simplify ownership, regulatory and financial reporting considerations for its proposed Nasdaq listing, which remains subject to regulatory and exchange approvals.