- Peak Resources (PEK) has entered 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 but its ongoing focus is on its Ngualla Rare Earth Project
- The Tanzanian project is one of the world’s highest-grade neodymium and praseodymium rare earth deposits with an initial 26-year mine life
- As of June 30, Peak had $2.68 million in cash and a 2.32 quarters left of funding
- Peak Resources last traded at 11 cents on Tuesday, August 3
Peak Resources (PEK) has entered 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 but these details are expected to be announced by Friday, August 6.
Peak is focused on developing its wholly owned Ngualla Rare Earth Project in Tanzania.
As stated in its report for the June quarter, the company progressed a special mining licence (SML) application with the Tanzanian Government. In July, the SML was approved and granted.
This elevated the project as one of the highest-grade neodymium and praseodymium rare earth deposits in the world with a completed bankable feasibility study, low operating costs and an initial 26-year mine life.
The company is now progressing funding, offtake and development arrangements for the project and is targeting construction to start by the end of September 2022.
Peak ended the June quarter with $2.68 million in cash and an estimated 2.32 quarters left of funding.
Whether or not the upcoming funding will support project activities or working capital isn’t yet clear.
Peak Resources last traded at 11 cents on Tuesday, August 3.