The halt will remain in place until the start of normal ASX trading on Monday, June 3, or when an announcement is released to the market, whichever occurs earliest.
Infinity Lithium’s shares last traded at 8.6 cents.
The company is well placed to capitalise on Europe’s strong lithium market fundamentals with its San Jose project.
An updated pre-feasibility study (PFS) for the project is on track for completion within the next two months.
This is assessing a fully integrated plan starting with mining and ending with the production of lithium hydroxide.
Stage I test work has been completed which focused on metallurgical tests designed to confirm previous upgrade factors from the November 2018 scoping study.
PFS consultant Wave International was able to produce suitable amounts of concentrate for stage II hydrometallurgical test work, which is designed to develop the sulphate-roast-water-leach flowsheet to a PFS standard.
After stage II, the leach solution produced will move to the final stage where through a process of purification and crystallisation lithium hydroxide will be produced.
Infinity recently increased its ownership in the project to 75% from 50%.
A November 2018 scoping study valued the lithium project at up to US$1.017 billion.