By: OrePulse

Aterian, listed on the London Stock Exchange, is piloting tungsten trading via Eastinco, its fully owned subsidiary in Rwanda, adding to the unit's longstanding tantalum trading operations.

Aterian chairperson Charles Bray described the approach as one of trialing "tungsten trading with controlled volumes, consolidating supplier relationships, scale capital as cycle proven."

Through the pilot, Eastinco aims to line up dependable, responsibly sourced tungsten, settle on consistent product specifications, agree on suitable pricing arrangements, and work out the working-capital cycle that recurring deals will require. The raised funds are earmarked mainly to build out operational back-office systems and expand the company's premises, enabling it to sort and buy tungsten-bearing material at wholesale scale.

To back that expansion, Aterian plans to raise roughly £180,000 in extra working capital by issuing zero-coupon convertible loan notes. If a holder files a conversion notice, or if none is filed by December 31, the notes automatically convert into equity priced at 25 pence per share.

The company said it intends to develop Eastinco into a diversified, scalable critical-minerals trading business capable of generating cash flow to help fund corporate costs. At the same time, it continues to advance copper, lithium and tantalum exploration through project partnerships.