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Diatreme Resources (ASX:DRX) enters first trading halt of 2020

The Market Online Deal Room
ASX:DRX      MCAP $70.86M
07 October 2020 12:28 (AEST)
Diatreme Resources (ASX:DRX) - CEO, Neil McIntyre

Source: PressReader

Diatreme Resources (DRX) has been placed in a trading halt pending an upcoming capital raise.

The company will remain in the halt until the earlier of October 9 or when the announcement is made.

At this point, Diatreme has not disclosed how much it will be raising or what it will use the funds for.

In September, Diatreme announced that recent drilling and exploration outlined the potential for resource expansion at the Galalar Silica Project in Queensland.

The mineral resource was expanded by 25 per cent in May to 47.5 million tonnes which include a maiden measured mineral resource of 30.9 million tonnes at 99.28 per cent silicon dioxide.

Diatreme last entered a trading halt in November 2019 in regards to a $3.63 million placement.

Roughly 363 million new fully-paid ordinary shares were issued to new and existing sophisticated investors at one cent each.

The company stated it would use the money to advance the Galalar Project.

Shares in Diatreme last traded for 1.2 cents on September 30.

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