Corcel plc said it aimed to capitalise on nickel prices by starting the process for potential farm outs or other funding for its nickel-cobalt project at Wowo Gap in Papua New Guinea.
INVESTORS
The company added it had engaged an investment bank to market the project following recent movements in the price of nickel and an approach by a bank.
The farm out could be either through a direct equity investment into the project or corporate funding solution.
Corcel holds a 100% interest in the Wowo Gap project.
TIMELINES
“The company believes that it is the right time to accelerate development of the project and that bringing in project capital and potentially a minority partner will facilitate these goals,” said Corcel in a statement.
“The company also believes that assets such as the company’s Wowo Gap and Mambare projects are now rising to the forefront of global investor interest, as users of nickel look to secure reliable sources of supply.
“The company looks to aggressively advance the timelines of the Wowo Gap project in order to capitalise on these conditions.”
WOWO GAP
The project lies 200km from the Papua New Guinea capital of Port Moresby and 150km southeast of the the company’s Mambare nickel-cobalt asset.
Corcel acquired a 100% interest in the project in 2021 and is currently upgrading the JORC resource to the 2012 standard.
The company is also applying for a two-year extension to the Wowo Gap tenement, EL1165, which expired on 28 February 2020.