ASX-listed Viridis Mining and Minerals has raised A$25-million in an oversubscribed share placement, strengthening its balance sheet as it advances the Colossus rare earths project in Brazil towards a final investment decision (FID) in the third quarter of 2026.

The company on Wednesday confirmed strong participation from new and existing institutional investors, including cornerstone support from North American and European funds, reflecting growing interest in the project’s strategic positioning within Western rare earths supply chains.

Following completion of the placement, Viridis expects to hold pro forma cash of about A$76-million, including existing cash reserves and funds available under a prior investment agreement.

Proceeds from the placement will be directed towards advancing critical development activities, including procurement of long-lead items, awarding the engineering, procurement and construction management contract, and progressing the definitive feasibility study.

Funds will also support continued work on a mixed rare earth carbonate demonstration plant, further drilling and resource definition, environmental approvals and general working capital.

The capital raising follows a period of project advancement, including the receipt of a preliminary environmental licence and the establishment of a project debt framework supported by export credit agencies.

These include Export Finance Australia, Export Development Canada, Bpifrance Assurance Export and the Brazilian National Bank for Economic and Social Development, providing further backing for the project’s financing strategy.

Viridis said the company was entering a “catalyst-rich” period leading up to FID, with key execution milestones scheduled over the next six months, including the placement of orders for long-lead equipment and the progression of contractor selection processes.