Highfield Resources Issues Retraction on Southey Project Details
HFR (HFR) Share Update July 2024 Tuesday 23rd
Highfield Resources Retracts Statements on Southey Project
Highfield Resources (ASX: HFR) has issued a retraction regarding previous statements made about the Southey Project. The company advises investors to disregard earlier claims about the project's mine life and planned annual production capacity.
Instant Summary:
- Retraction of statements on Southey Project's mine life and production capacity.
- Investors advised not to rely on previous exploration results.
- Statements cannot be reported under the JORC (2012) Code.
Retraction Details
On 23 July 2024, Highfield Resources (ASX: HFR) announced the retraction of statements made in a previous announcement dated 19 July 2024. The retraction specifically addresses claims about the mine life and planned annual production capacity of the Southey Project.
The company emphasized that these statements should not be relied upon by investors, as the results cannot currently be reported under the JORC (2012) Code. Highfield has not independently validated the previous exploration results of the Southey Project, and therefore, these results should not be regarded as reported, adopted, or endorsed by the company.
Background
Highfield Resources had previously announced entering into a non-binding Letter of Intent for Cooperation with Yankuang Energy Group Co. Ltd and several strategic investors. This announcement had included optimistic projections about the Southey Project, which have now been retracted.
The retraction was authorized for release by the Chairman of Highfield Resources Limited. The company has provided contact information for further inquiries, including CEO Ignacio Salazar and Investor Relations representatives Olivier Vadillo and Elvis Jurcevic.
About Highfield Resources
Highfield Resources is an ASX-listed potash company focused on its flagship Muga Project in Spain. The Muga Project is notable for its low-cost, low-capex profile and its strategic location in a European agricultural region with a potash supply deficit. The project has received all necessary permits and licenses, with construction set to commence soon.
Highfield's potash tenements, including Muga-Vipasca, Pintanos, and Sierra del Perdón, are located in the Ebro potash-producing basin in Northern Spain, covering an area of around 250 square kilometers.
The retraction of statements regarding the Southey Project is likely to have a negative impact on Highfield Resources' stock price. Investors who had placed confidence in the previously announced projections may react negatively to the news. The lack of independent validation and the inability to report under the JORC (2012) Code could further erode investor confidence.
Investor Reaction:
Analysts and investors are expected to be cautious following this retraction. Some may express concerns about the company's transparency and the reliability of its future announcements. The market will likely watch closely for any further updates or clarifications from Highfield Resources.
Conclusion:
Investors should exercise caution and closely monitor Highfield Resources for any further updates regarding the Southey Project and other company activities. The retraction serves as a reminder of the importance of validated and reliable information in making investment decisions.