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Leigh Creek Energy (ASX:LCK) enters trading halt to plan capital raise

The Market Online Deal Room
ASX:LCK
11 June 2021 12:52 (AEST)
Leigh Creek Energy (ASX:LCK) - Managing Director, Phil Staveley (left)

Source: Leigh Creek Energy

Leigh Creek Energy (LCK) has entered a trading halt ahead of a proposed capital raising.

At this stage, it isn’t clear how much the company will raise or how it will use the money.

Leigh Creek’s main focus has been on its namesake project in South Australia. The Leigh Creek Energy Project (LCEP) is being developed to become a producer of low-cost, nitrogen-based fertiliser for local and export agriculture markets.

The project will initially produce one million tonnes per annum of urea using LCK’s gas reserves.

Significantly the $2.6 billion LCEP will be the only fully integrated urea production facility in Australia.

Last quarter, the company reached a final investment decision for the project which allows it to proceed to stage one.

Stage one works include drilling wells, generating syngas and installing a small five-megawatt power plant to use the gas.

Leigh Creek will remain in the trading halt until Tuesday, June 15, at the latest.

Company shares last traded at 23 cents on Thursday, June 10.

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