- Queensland Pacific Metals (QPM) has secured a funding facility as it continues to develop the Townsville Energy Chemicals Hub
- The hub is being constructed to process material from New Caledonia to produce battery chemicals for the electric vehicle industry
- Metamor Capital Partners will provide a $1 million R&D Loan Facility to tie the company over until it receives its Research and Development Tax incentive return
- At present, the pilot plant is operating, for what was initially set to be a 10-day run, and the flowsheet is being validated
- QPM will extend this period to produce enough mixed hydrogen precipitate to provide samples to potential offtake partners and for use in refining testwork
- Shares have been trading 4.6 per cent higher at 6.8 cants
Queensland Pacific Metals (QPM) has secured a funding facility as it continues to develop the Townsville Energy Chemicals Hub (TECH).
The hub is being constructed to process nickel-cobalt laterite ore from New Caledonia to produce battery chemicals for the electric vehicle industry.
The loan facility
Metamor Capital Partners will provide a $1 million R&D Loan Facility to QPM, repayable at the earlier of the receipt of its FY21 tax return or November 15, 2021.
QPM considers the majority of its technical work expenditure on the TECH project this year to date, will be eligible for the Federal Government’s Research and Development Tax Incentive scheme.
The loan will be at an interest rate of 12.5 per cent, lower than the rate offered in the facility with Matamor in FY2020.
TECH project progress
Pilot plant operations at the Queensland project resumed on January 21, 2021, producing mixed hydrogen precipitate (MHP) and validating the flowsheet.
The pilot plant was initially booked for a 10-day run, but this period will be extended so that adequate MHP can be produced for use as samples for potential offtake partners, as well as refining testwork.
Shares have been trading 4.6 per cent higher at 6.8 cants at 10:15 am AEDT.