American Pacific Borates (ASX:ABR) share price leaps 8% on project update

a man in a hard hat and overalls raises his arms and holds them out wide as he smiles widely in an optimistic and welcoming gesture.

The American Pacific Borates Ltd (ASX: ABR) share price is leaping 8% after a project update from the borate miner.

What did American Pacific Borates announce?

The Aussie resources group told the market it has signed a second non-binding letter of intent (LOI) with the US-based group Borman Speciality Materials to supply boron specialty advanced materials.

The LOI supports targeted first production of materials at ABR’s small-scale boron facility in the second half of CY2022.

Borman produces a wide range of global specialty products for many markets. These include the semiconductor, life sciences, aerospace, military and automotive markets.

Today’s LOI brings a potential partnership involving ABR’s Fort Cady Integrated Boron Facility in southern California a step closer.

The company’s website says the Californian mine hosts “a multi-generational borate resource where boric acid, borate speciality materials, gypsum and potassium sulfate (SOP) will be produced for the global market”.

ABR CEO Henri Tausch said:

We look forward to working with Borman Speciality Materials who have over 80 years operating experience in global markets, on the potential to supply speciality boron advanced materials that will be produced for critical future facing applications.

With partners now engaged for our planned SOP and Borates products, and with increasing favourable market conditions, the Company is fast moving towards initial production of boron specialty advanced materials from its small-scale boron facility in FY2022.

It’s not just the CEO who is excited by today’s announcement. The ABR share price is leaping higher and is one of the better performers on the ASX today.

Foolish takeaway

The news has clearly impressed shareholders with the ABR share price rocketing on Thursday.

Shares in the resources group are now slightly above where they started the year.

ABR shares are changing hands for $1.54 today compared to $1.50 on 4 January.

The post American Pacific Borates (ASX:ABR) share price leaps 8% on project update appeared first on The Motley Fool Australia.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of August 16th 2021

More reading

Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

from The Motley Fool Australia

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s