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- American Pacific Borate (ABR) could be listed in the NASDAQ as soon as July as it works to produce its first borate over the September quarter of 2021
- The company has several partner discussions on the table and over $60 million in the bank to keep developing its flagship Fort Cady project in California
- This is enough funding to complete the entire first phase of the project’s development, according to CEO and Managing Director Mike Schlumpberger
- Meanwhile, ABR has kicked off a search for U.S. directors to bolster its board as it works towards listing on the NASDAQ exchange
- ABR says it has two options open for a NASDAQ listing, and it plans to commit to one of the options by the end of March — paving the way for a NASDAQ-listing in June or July 2021
- Once the Fort Cady mine is fully built, ABR expects to produce boric acid, sulphate of potash (SOP) and gypsum from the project
- Shares in ABR are trading almost 7 per cent higher this afternoon at $2.02 each
American Pacific Borate (ABR) could be listed in the NASDAQ as soon as July as it works to produce its first borate over the September quarter of 2021.
The borate miner told investors today it has several partner discussions on the table and enough cash in the bank to fast-track the development of its flagship Fort Cady project in California. This will bring forward the production of both boric acid and sulphate of potash (SOP) from the mine.
CEO and Managing Director Mike Schlumpberger said at a corporate level, the company has completed an accelerated mine schedule to support “positive” partner discussions.
“Our U.S. borate market consultant has also advised the U.S. borate market is tightening and prices are moving higher which is great news for us as this suggests that the market is looking for new sources of supply and that our first production this year is perfectly timed,” Mike explained.
“It is also becoming evident that we may need to accelerate our construction to support U.S. market demand,” he said.
Stepping closer to the NASDAQ
With increasing borate prices and growing U.S. demand, Mike said ABR’s listing in the United States remains a priority for the business.
While details of the potential listing are still vague, ABR said the company is busy considering two options to list on the NASDAQ. The company expects to commit to one of these options this month, paving the way for a potential NASDAQ listing by June or July 2021.
Encouragingly, ABR has kicked off a search for U.S.-based directors to help bolster the company’s board.
On top of this, ABR said it has held several U.S. investors meetings over the past month as it works with investment banks ahead of the NASDAQ listing.
“We have a very rare borate mine located in the U.S. that we expect U.S. markets to support as we continue to educate the market on the strategic value of borates in the context of a growing market,” Mike said.
Fort Cady construction
While working on its U.S. listing, ABR has committed over US$40 million (around A$52 million) for the Phase 1A construction of the Fort Cady Borate Mine.
With another $60.6 million cash in the bank as of the end of February, Mike said the company has enough to fund this phase of construction and produce the first borates from the mine before the end of September.
Once fully complete, the Fort Cady mine is expected to produce boric acid, gypsum and SOP. These resources have applications in the specialty fertiliser market and high-end tech like electric vehicles and even space shuttles.
Shareholders have responded well to ABR’s update today, with shares in the company up 6.88 per cent to $2.02 at 1:47 pm AEDT. American Pacific Borates has a $760.02 million market cap.
