Man holds Aus notes
Adobe Stock
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

Queensland Pacific Metals (ASX:QPM) has revealed its receipt of confirmation for $8M of funding from QLD’s government.

The funding is to help QPM arrive at FID for its Townsville Energy Chemicals Hub (‘TECH project‘).

That vision sees a world where QPM can provide nickel ore from New Caledonia to produce nickel and cobalt sulphates for the Australian supply chain. A number of ex-Chiense companies are potential offtakers, with LG Energy Solutions, POSCO and General Motors all watching.

The $8M from QLD adds to an existing $8M from Canberra for a total pool of $16M to head towards FID.

Based on this sum – relatively small compared to what Canberra recently doled out the Arafura critical minerals project – QPM now wants to spin out the Tech Project from QPM in a demerger.

“A Demerger would allow both QPM Energy and the TECH Project to grow more efficiently and maximise value for shareholders,” the company wrote on Monday.

“Government support is essential for advanced manufacturing projects like TECH to be competitive on the global stage,” QPM Director Stephen Grocott said.

“We believe in the merits of the TECH Project with its gold standard sustainability credentials and world class partners. I would like to personally thank both the State and Federal Governments for their ongoing support, particularly at a time where it is most needed for critical minerals.”

QPM last traded at 3.3cps.

QPM by the numbers
More From The Market Online
Crosse section of the earth

Earths Energy confirms Paralana as an Enhanced Geothermal Systems Program project

Earths Energy Ltd has completed preliminary work on its Techno Economic Feasibility study for the Paralana…
India Europe trade concept

Evion Group to ink first $2M from sales of expandable graphite to Europe

Evion Group has confirmed it's set to receive around A$2M in payments to its India-based JV…
The Market Online Video

ASX Market Open: Local bourse to rise as US voting underway | 6 Nov 2024

Greetings and welcome to the midway point of this US election heavy week. You're listening to…
AI image of copper mineralisation

Bastion picks up historic samples grading up to 9.88% Cu from ICE Copper project in Canada

Bastion Minerals Ltd has been carrying out sampling work on historic drill core at its ICE…