Peninsula Energy Ltd (ASX:PEN) has been granted a trading halt by the ASX pending details on project expansion funding.
Peninsula recently received proposals, and executed one non-binding term sheet, for an Income Streaming facility to fund expansion at the Lance uranium project, located in the Powder River Basin, Wyoming, U.S.
Income Streaming is a non-dilutive mechanism that sees a proportion of future sales revenue, over a finite time period, being exchanged for a one-off upfront cash payment that is to be used for additional capital expenditure.
Typically this would involve less than 5% of the produced material over the specific time period, structured to afford a commercial return to the provider but also to minimise the cashflow impact to the company.
The halt will remain in place until the opening of trade on Wednesday 23rd March 2016, or earlier if an announcement is made to the market.
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