The Clean TeQ Holdings Limited (ASX: CLQ) share price has been on a rollercoaster ride over the past few days of trading.
Yesterday, Clean TeQ shares rose 19% despite no news coming out of the company on Monday. However, last Friday the company announced its activities and cash flow report for the quarter ending June 2020, which saw its share price jump 13% that day.
Today, however, the Clean TeQ share price opened early trade down 6.25% to 15 cents per share, before pushing up slightly to be trading flat at the time of writing.
What does Clean TeQ do?
Clean TeQ is involved in metals recovery and industrial water treatment through its ‘Clean-iX’ continuous ion exchange technology. The company aims to help reduce the world’s environmental burden and become a leading supplier of clean energy solutions.
On Friday, the company released an update regarding its current projects, which drove the Clean TeQ share price higher on Friday and across yesterday’s trade.
Clean TeQ reported it has made strong progress towards the formal completion of the Fosterville Gold Mine water treatment plant, which is located in Victoria. Since the end of June, the operation of the plant has been handed over to the customer and is running on waste water continuously.
Clean TeQ confirmed it also continued to advance the development of the Sunrise Battery Materials Complex in New South Wales. The Sunrise Project is one of the world’s largest and most cobalt-rich laterite deposits and is tipped to be a significant producer of nickel sulphate and cobalt sulphate – key materials for the electric vehicle battery market.
The company has been progressing the project in conjunction with the Fluor global engineering group, which is headquartered in Texas. While the project was originally slated to be completed in the second quarter of FY20, it has been announced that the project’s completion date has been pushed later to Q3 FY20. The company cited Covid-19 as the reason for the delay.
What now for Clean TeQ
As at the end of June, Clean TeQ’s cash balance was $40.1 million. The company announced that it had received a cash rebate of approximately $4.4 million after being eligible for the government’s research and development tax incentive for FY19. Clean TeQ was also granted a large new exploration licence for base and precious metals near Dubbo and Narromine.
The Clean TeQ share price is down 26%, year to date, and 60% since this time last year. Despite its recent rally, the current Clean TeQ share price represents a sharp drop on its highs of $1.65 in late 2017.
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