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Cyprium Metals (ASX:CYM) enters trading halt

The Market Online Deal Room
ASX:CYM      MCAP $60.98M
28 June 2022 16:05 (AEST)

Repairing of piping and equipment by workers at Nifty project, WA. Source: Cyprium Metals

Cyprium Metals (CYM) has entered a trading halt as the company prepares to undertake a capital raise.

Trading in CYM shares will be paused until Thursday, June 30 or until the company releases more details.

Whilst it is not yet known where the funds will be spent, the company has recently been seeking finance for the execution of its Nifty copper project in Western Australia.

Yesterday, the company announced it had secured a Letter of Intent (LOI) from Glencore for a $50 million offtake prepayment facility.

Cyprium said the facility would help fund the restart of the project including capital expenditure, contingencies, working capital and financing costs.

As a result, Glencore will receive 100 per cent of the copper cathode produced during phase one of the project’s restart.

In addition, Managing Director Barry Cahill’s comments from the announcement suggested further funds will be needed for the project.

“We are looking forward to completing our total funding package so that we can commence executing our Nifty Copper Project restart development plans,” he said.

Shares in the company last traded at 16 cents each.

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