UK-focused tungsten miner Wolf Minerals Limited (LON:WLFE, ASX:WLF) has requested a voluntary suspension from the ASX after it decided to defer the release of its annual report and audited financial statements.
The annual report was due for release today (30 September) but has now been pushed back until it clears up its financial position.
“After discussion with the company's auditors (PKF Mack), the board believes that further progress is required to finalise the audit opinion on the financial statements for the year ended 30 June 2016.”
Trading in the company’s shares on AIM will continue as normal, Wolf said.
In the same update, Wolf said that discussions with lenders “have been positive” after the company breached a loan covenant under its senior debt facility back in July.
The covenant relates to a minimum forward cashflow forecast requirement which the company said it is unable to meet without further support.
Wolf has agreed to a “negotiated draft non-binding term sheet” with the original lenders which will hopefully resolve the issue and allow for the restructuring of the £75mln facility as well as providing
The firm said that all parties are hopeful of signing off on the binding final agreements on or before 17 October.
Shares were down 14% to 4.96p.