Poseidon Nickel in Talks to Raise Capital for Mine Rework

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Poseidon Nickel has big plans in mind for a nickel mine. “The reincarnation of the company behind one of the most spectacular stock crashes in Australia, is in talks with investors to raise capital to help finance the development of a long-dormant nickel deposit as the outlook for the metal brightens,” reports Reuters.

“People familiar with Poseidon’s financing needs said the minerals exploration firm, which has a market value of A$43 million ($37.61 million), could issue debt or convertible notes to help foot the $197 million bill needed to get its outback Mount Windarra deposit up and running.”

“Perth-based Poseidon was granted on Tuesday a trading halt on the Australian Securities Exchange pending what it said was an announcement in relation to a proposed capital raising or other form of financing. It gave no further details.”

In metal price news for stainless steel and nickel…

Chinese stainless steel prices were mixed for the day. The price of Chinese ferro-chrome was unchanged. For the fifth day in a row, the price of Chinese ferro-moly remained essentially flat.

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The price of Chinese primary nickel rose 0.8 percent after a two-day drop. For the fifth consecutive day, the price of Chinese 316 stainless coil held flat. The price of Chinese 304 stainless coil saw essentially no change for the fifth day in a row. The price of Chinese 316 stainless steel scrap saw little movement. The price of Chinese 304 stainless steel scrap continues to hover for the fifth day in a row.

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The nickel 3-month price weakened by 0.7 percent on the LME, settling at $14,610 per metric ton. On the LME, the nickel spot price fell 0.5 percent to $14,550 per metric ton. The cash price of primary Indian nickel finished the market day up 0.5 percent per kilogram.