HIGHLANDS Pacific, whose shares are near a six-year low because of mining problems at its Kainantu mine, was yesterday suspended from trading on the Australian Stock Exchange because a “major agreement” will soon be signed.
The company requested the suspension yesterday and said that an announcement would be made prior to start of share trading on Thursday.
Highlands Pacific earlier announced the granting of 21 million options at 20c each exercisable by Aug 21, 2010, to its banking syndicate as part of an agreement to defer financing obligations.
The company’s banking syndicate consisting of ABN Amro, Societe Generale and RMB Resources recently agreed to defer forward sales contracts for gold with Highlands Pacific from September and December to February next year.
Highlands Pacific’s report for the September quarter is also due out by the end of this week and could indicate the extent of improvement at the Kainantu mine.