- Galan Lithium (GLN) enters a trading halt while it plans a capital raise
- The company hasn’t disclosed how much will be raised or what it will use the money for
- However, its main focus has been on developing the Hombre Muerto West Project in Argentina into production
- Galan expects to remain in the trading halt until no later than Monday, August 16
- Company shares last traded at $1.28 on Wednesday, August 11
Galan Lithium (GLN) has entered a trading halt while it plans a capital raise.
The company hasn’t disclosed how much will be raised or what the money will be used for.
Galan’s main focus over the last few months has been on its Hombre Muerto West (HMW) Project which is located in the South American lithium triangle in Argentina.
The miner is developing the HMW project into a robust and reliable producer of up to 25,000 tonnes of lithium carbonate equivalent per annum.
In the June quarter, Galan’s operating cash outflows were $303,000 on top of $554,000 on investing activities.
Regardless, the materials stock ended the quarter with $15.47 million in cash and equivalents and an estimated 20.5 quarters left of funding. However, the company said its operating cash flows may increase as it moves into the next project phase.
The company is undertaking feasibility studies and other works for the HMW Project but whether or not the upcoming funding will support project activities is not yet known.
Galan expects to remain in the trading halt until no later than Monday, August 16.
Company shares last traded at $1.28 on Wednesday, August 11.