Queensland Pacific Metals Ltd (ASX:QPM) has been granted a trading halt by the ASX with an announcement pending in relation to a proposed capital raising.
The halt will be in place until the start of regular trading on Monday, March 22 or when an announcement is released to the market, whichever occurs earliest.
Shares last traded at 9.4 cents after reaching 15 cents in late February, a new high of more than 12 years.
TECH Project delivers strong results
The company has received positive assays for mixed hydroxide precipitate (MHP) produced from recent piloting test-work for the TECH project in Townsville, Queensland.
As part of QPM’s technical team, the company engaged leading consultants who are experts in MHP production and its refining of MHP into nickel and cobalt sulphate.
These experts confirmed that the assay results of QPM’s MHP are in line with leading MHP products that are currently sold around the world, largely for the purpose of refining into nickel and cobalt sulphate.
MHP is preferred nickel feed source for refining to nickel sulphate as the process to do so is commercial, relatively straight forward and has low capital and operating costs.
There is limited MHP available in the global market and sulphate producers have had to supplement their feed with nickel metal.