Chariot Corporation (ASX: CHR) Announces OTCQB Listing to Expand Investor Access

Chariot Corporation (ASX: CHR) has announced its OTCQB listing under the ticker CHRTF, which facilitates enhanced access to North American capital markets. This ASX announcement details the development that allows the mineral exploration company to maintain its primary ASX listing while expanding its investor base. The company aims to address growing US investor interest in domestic lithium development across its diversified portfolio, which includes twelve projects in the United States, alongside operations in Nigeria, Australia, and Zimbabwe. Chariot Corporation has 181,005,534 shares on issue and a market capitalisation of approximately $36.2 million. The company maintains $682,000 in cash as of October 31, 2024.

What are the advantages of the OTCQB Market for Chariot Corporation?

The OTCQB Market accommodates over 12,000 securities and is positioned as the middle tier of US over-the-counter trading platforms. For Chariot Corporation, this secondary listing provides immediate access to North American capital markets whilst establishing a foundation for potential NASDAQ graduation in future periods.

Key advantages associated with the OTCQB Market are reported to include:

• Enhanced liquidity through extended trading hours across multiple time zones.
• Direct institutional access for US-based investment firms and funds.
• Improved price discovery mechanisms through dual-market arbitrage opportunities.
• Reduced foreign exchange friction for North American investors.
• Broader analyst coverage potential from US research institutions.

The listing maintains Chariot’s existing capital structure, with no new ordinary shares issued in connection with this US listing. This approach ensures existing shareholders may benefit from expanded market access without dilution concerns, whilst the company systematically builds its North American investor base. Furthermore, the OTCQB platform requires companies to meet specific financial standards, reporting requirements, and corporate governance criteria. These standards are believed to provide international investors with enhanced confidence whilst offering cost-effective entry into US capital markets compared to major exchange listings.

How does expanded market access support Chariot’s lithium project development?

Chariot’s core projects in Wyoming and Nevada/Oregon are reported to exhibit potential for lithium development, with initial survey results indicating lithium mineralisation at surface across both strategic assets. The enhanced market access through the OTCQB presence may provide increased funding access as these projects enter critical development phases.

The Black Mountain Project in Wyoming focuses on hard rock lithium exploration within a jurisdiction known for streamlined permitting processes. Initial surface surveys have identified lithium indicators, positioning the project for systematic exploration programs targeting resource definition and feasibility studies.

The Resurgent Project spans Nevada and Oregon, targeting claystone lithium deposits within established lithium corridors. Claystone deposits are gaining recognition for their potential extraction efficiency compared to traditional hard rock operations, offering processing advantages that North American investors may value.

Strategic development timeline considerations include:

• Phase 1: Systematic exploration programs across both Core Projects.
• Phase 2: Resource estimation updates following initial drilling campaigns.
• Phase 3: Preliminary feasibility studies for discoveries.
• Phase 4: Partnership discussions with North American battery and automotive companies.

The company’s cash position, along with the OTCQB listing, is expected to enhance future funding flexibility through dual-market access.

What makes Chariot’s Nigerian portfolio acquisition notable for diversification?

The anticipated completion of Chariot’s Nigerian lithium portfolio acquisition in the fourth quarter represents a significant expansion of the company’s asset base. This acquisition involves four project clusters covering approximately 254 square kilometres across Oyo and Kwara states. This development is reported to position Chariot among Nigeria’s larger lithium asset holders whilst providing geographic diversification beyond North American operations.

The Nigerian assets comprise eight exploration licences and two small-scale mining leases across the Fonlo, Gbugbu, Iganna, and Saki project clusters. These assets indicate lithium mineralisation through historical artisanal mining activities, providing geological validation for systematic exploration programs.

Nigerian portfolio considerations include:

• Established artisanal mining history indicating lithium deposits.
• Large-scale land position providing multiple exploration targets.
• Geographic diversification potentially reducing jurisdictional risk concentration.
• Potential for near-term production from existing small-scale operations.
• Access to African critical mineral markets with growing demand.

The timing of this acquisition, alongside the company’s US listing, may provide North American investors with indirect exposure to African lithium development through a US-tradeable security. This positioning could appeal to institutions seeking diversified critical mineral exposure across multiple jurisdictions and geological settings. Furthermore, Nigeria’s evolving position in global lithium supply chains may offer potential for strategic partnerships with international battery manufacturers seeking supply security outside traditional lithium-producing regions.

Which additional exploration projects contribute to Chariot’s value proposition?

Beyond the core projects, Chariot maintains six exploration pipeline projects in Wyoming, including the Copper Mountain Project and South Pass Project, alongside four additional hard rock lithium prospects. These assets are reported to provide multiple exploration targets within a consolidated geographic region, which may enable operational synergies and cost efficiencies for the mineral exploration company.

The Southern Cross Greenstone Belt in Western Australia represents another opportunity, with Chariot holding applications for seven exploration licences in this region. The Southern Cross area has been described as significant for LCT pegmatites whilst maintaining its reputation as a gold-producing region with over 150 historical mines.

Pipeline project categories include:

• Wyoming hard rock lithium projects providing regional consolidation opportunities.
• Western Australian LCT pegmatite prospects in geological terranes.
• Nevada claystone lithium interests through Mustang Lithium LLC partnership.
• Zimbabwe hard rock lithium assets currently under relinquishment review.

The Chariot Corporation OTCQB listing is expected to enhance the company’s ability to fund systematic exploration across this expanded portfolio through improved capital market access.

How will North American investors benefit from direct market access to Chariot (ASX: CHR)?

The OTCQB listing addresses traditional barriers that prevented many North American institutional and retail investors from accessing Chariot’s shares directly. Previously, US investors required international brokerage arrangements or currency conversions, which often created friction and additional costs.

Direct investor benefits may include:

• Simplified share ownership through standard US brokerage accounts.
• Real-time pricing in USD, potentially eliminating foreign exchange calculations.
• Enhanced trading liquidity through North American market participation.
• Extended trading hours providing additional liquidity windows.
• Institutional research coverage potential from US-based analysts.

For retail investors specifically, the OTCQB platform is reported to provide regulated market access with enhanced disclosure requirements compared to basic OTC markets. This regulatory framework may offer increased confidence whilst maintaining cost-effective trading compared to major exchange listings. Furthermore, the dual-listing structure is reported to create arbitrage opportunities that typically contribute to price discovery and may reduce bid-ask spreads over time. As trading volumes potentially increase across both markets, shareholders may benefit from enhanced liquidity and improved share price performance. Institutional investors are expected to gain particular advantages through direct market access, enabling standard compliance and reporting procedures without complex international investment protocols.

What are the technical requirements for maintaining OTCQB Market status?

Maintaining OTCQB Market status requires ongoing compliance with specific financial standards, reporting requirements, and corporate governance criteria that distinguish this market tier from basic OTC platforms. These requirements are understood to provide investor confidence whilst establishing clear operational frameworks for listed companies.

Key ongoing requirements for the OTCQB platform include:

• Minimum $0.01 bid price maintenance across extended periods.
• Current financial reporting compliance with standardised disclosure formats.
• Annual verification and certification processes through approved providers.
• Enhanced corporate governance standards exceeding basic OTC requirements.

The regulatory framework positions the OTCQB as an intermediate step toward major exchange listings, with many companies utilising this platform to build institutional relationships and demonstrate sustained market performance before NASDAQ or NYSE applications. For Chariot specifically, maintaining these standards aligns with the company’s broader corporate governance initiatives whilst providing clear metrics for measuring progress toward potential major exchange graduation.

What are the implications of the OTCQB presence for future NASDAQ listing aspirations?

The OTCQB listing serves as a foundational step toward management’s stated objective of achieving NASDAQ listing in future periods. It is designed to create a structured pathway for major exchange graduation as the company develops its lithium projects and expands its North American investor base.

NASDAQ upgrade pathway considerations include:

• Share price requirements: Minimum $4.00 maintenance for 90 consecutive days.
• Financial metrics: $5 million shareholders’ equity or alternative quantitative standards.
• Shareholder base: 300+ round lot shareholders holding 100 shares minimum each.
• Corporate governance: Enhanced reporting and board independence requirements.

A strategic timeline may involve:

• Phase 1 (Current): OTCQB establishment and North American investor development.
• Phase 2 (6-18 months): Project milestones and increased trading volume demonstration.
• Phase 3 (12-24 months): Potential NASDAQ application, subject to market conditions.

The Chariot Corporation OTCQB listing allows systematic relationship building with US institutional investors, which is anticipated to be beneficial.

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