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Mining

Altech Chemicals Ltd granted additional time to finalise raising

Altech Chemicals Ltd (ASX:ATC) is currently in the process of conducting a capital raising, with the ASX granting the company more time today to finalise in the form of a voluntary suspension.

It is expected the voluntary suspension will be lifted on or before Thursday 24 March 2016.

Altech recently revealed results of an update to its Bankable Feasibility Study for the development of a 4,000tpa high purity alumina (HPA) processing plant at Johor, Malaysia.

Key outcomes of the updated BFS include:

- Increased estimated pre-tax NPV9 of US$358 million (previously US$326 million).

- Higher Internal Rate of Return (IRR) of 33% (previously 30%).

- Capex US$78.7 million (was US$76.9 million).

- Long-term sale price forecast unchanged at US$23,000/tonne for 99.99% (4N) product.

- Cost of goods sold slightly higher at US$9,074/tonne.

- EBITDA of US$55.7 million per annum at full production.

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