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Be the first with the news that moves the market- Clean TeQ (TSX:CLQ) is delaying a final investment decision on The Sunrise Project in Australia, as the company cannot locate an investment partner
- The company has as yet been unable to secure a partner to help develop the project, despite nominating mid-2020 as the final decision deadline
- The company is working through its project execution plan and has engaged Macquarie to help locate a partner
- Clean TeQ has stated COVD-19 has presented difficult conditions for funding new development projects
- Clean TeQ (CLQ) is down 14 per cent and is trading at C$0.15 per share
Clean TeQ (TSX: CLQ) is delaying the final investment decision on The Sunrise Project in Australia, as it cannot locate an investment partner.
Sunrise is a cobalt project located in New South Wales and is one of the largest measured cobalt deposits outside of Africa.
The company has been working through its project execution plan, alongside Fluor Australia. If the site reaches completion, it will be one of the few development ready nickel-cobalt battery material projects in the world.
However, the company has not secured an investment partner for the project. The company was hoping to find a partner in time for the site’s final investment decision in mid-2020.
The company attributed the financing difficulties to the COVID-19 pandemic and the accompanying economic impact.
Clean TeQ’s CEO, Sam Riggall warned that the world’s automotive industry was dangerously underestimating the development required to meet the coming demand for electric vehicle component metals.
“Even between the most conservative and optimistic EV growth projects, the mining sector needs to build between two and four Sunrise projects every year for the next decade simply to meet EV battery demand for nickel and cobalt.
“At some point in this game of musical chairs the music will stop and not everyone will have a seat.
“We have a vision for Sunrise, embedded within the design and engineering of the plan that optimised is value as an integrated part of the carmakers’ EV supply chain,” he said.
Clean TeQ (CLQ) is down 14 per cent and is trading at C$0.15 per share at 10:00 am EDT.
