Evion Group (ASX: EVG) has agreed to acquire a significant fluorspar project in Nevada, simultaneously raising A$6.6 million to fund the acquisition and advance its graphite projects.
Evion has secured an exclusive option to acquire 100% of the historically producing CARP fluorspar project in Lincoln County.
This strategic move includes the staking of 45 additional adjacent mining claims, covering approximately 376 hectares, to expand potential.
The CARP project holds a history of significant production, having yielded approximately 44,900 tonnes at an average grade of ~69% CaF2 between 1958 and 1971.
Fluorspar is deemed a critical mineral by the US, which currently relies 100% on imports for fluorspar, with no meaningful domestic production since 1990.
The strategic importance of this mineral is underscored by the US Defense Logistics Agency awarding a US$168.9 million fluorspar supply contract, demonstrating an accelerating government focus on securing supply.
Capital Raise Funds Expansion
To fund its new venture and ongoing projects, Evion Group has successfully secured firm commitments for A$6.635 million through a two-tranche share placement.
The placement will issue approximately 217,833,333 shares at A$0.03 per share, representing an 18.9% discount to the closing price on 7 May.
These proceeds will be support the completion of the fluorspar acquisition and due diligence, initial exploration activities in Nevada, as well as the continued advancement of Evion's existing graphite projects including the Maniry Graphite Project and Panthera Graphite Technologies.
A portion will also be directed towards general working capital.
Fluorspar Project Economics & Risks
The option to acquire the CARP fluorspar project involves an upfront payment to the optionor of US$150,000 cash and US$250,000 in shares.
Deferred consideration includes total payments of US$1.46 million cash and US$1.75 million shares over a period of three years.
Furthermore, the acquisition terms include a commitment for US$3.75 million in exploration expenditure over the next four years.
Upon the exercise of the option, a 3% gross revenue royalty will apply.
Graphite Projects Continue Progress
Beyond its fluorspar ambitions, Evion continues to progress its graphite portfolio.
Madagascar's Mines Ministry has completed the technical assessment for converting Evion's final two Maniry exploration permits into exploitation permits.
This confirmation indicates the application is technically ready for processing, marking a key milestone towards development.
In India, Evion's operations produced 90 metric tonnes of expandable graphite to a saleable stage, with receipts for the December 2025 quarter exceeding US$500,000, demonstrating ongoing commercial activity.
The Panthera Graphite Technologies JV has also secured a second US order for 300 tonnes of expandable graphite, which is expected to generate approximately A$1.5 million in revenue.
Strategic Diversification and Funding
Evion Group is strategically diversifying into critical minerals with the acquisition option of a US fluorspar project, underpinned by a significant capital raise.
This move complements its ongoing development and commercialisation efforts in graphite, balancing near-term revenue generation with longer-term resource development potential.
However, no resource estimate or development study has been provided for the fluorspar project at this stage, indicating material technical and economic risks remain before a production timeline can be validated.
