Gladiator Resources (ASX: GLA) has been granted a trading halt by the ASX pending the release of a proposed capital raising, with the company's shares placed in pre-open.
Gladiator has not yet indicated where the potential capital injection will be allocated, but most recently the company has been active at the Isla Cristalina Joint Venture in Uruguay - where the company can earn up to 80%.
Resource drilling on the Cerro Papagayo and Papagayo Ridge magnetite deposits covered 314 holes for over 27,000 metres at the end of 2011, with some very encouraging results being delivered to the market.
Highlights so far from Papagayo include; 87 metres at 35.7% magnetite containing 67.8% iron; 65 metres at 39.1% magnetite containing 67.0% iron; and 62 metres at 36.4% magnetite containing 67.8% iron.
The halt will last until the earlier of an announcement being made to the market, or the opening of trade on Tuesday 28 February.