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Mining

Element 25 halted with capital raising upcoming to accelerate manganese expansion plans

The company plans to accelerate work on its lithium-ion battery-grade manganese sulphate flowsheet and expansion of manganese concentrate production volumes from the Butcherbird Project.

Element 25 Ltd (ASX:E25) has been granted a trading halt by the ASX with an announcement pending in relation to a proposed capital raising.

The proposed raising is expected to accelerate work on the company’s lithium-ion battery-grade manganese sulphate flowsheet and to fund the proposed expansion of manganese concentrate production volumes from the Butcherbird Manganese Project.

This work was outlined in the pre-feasibility study for the project released in December 2020.

The halt will be in place until the start of regular trading on Wednesday, March 24, or when an announcement is released to the market, whichever occurs earliest.

Pre-commissioning at Butcherbird

The company has confirmed delivery of the first stage of a planned multi-stage development at its 100%-owned Butcherbird Project in WA, with completion on track and in line with the original target of the first quarter of 2021.

Pre-commissioning activities have started on schedule with electrical systems and instrument loop checking underway utilising temporary power.

Sequential rotational checking of drives was expected to begin earlier this month while the power station was due to arrive at the site, with installation and power-up scheduled to follow.

This is the first stage of a multi-stage development strategy for the project, which will be expanded to produce high purity manganese sulphate monohydrate (HPMSM) for electric vehicle (EV) batteries to power the global transition away from fossil fuel-powered mobility.

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