Why is the Eastern Iron (ASX:EFE) share price halted?

Shares in the exploration company have been placed in a trading halt.

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The Eastern Iron Limited (ASX:EFE) share price won’t be going anywhere today.  

Shares in the exploration company entered a trading halt earlier, whilst also releasing several other updates.

Let’s take a closer look at what’s happening with the Eastern Iron share price.  

Why is the Eastern Iron share price halted?

Earlier today Eastern Iron requested that its shares be placed in an immediate trading halt.

The exploration company noted that securities will remain in a halt until the release of an announcement regarding an updated mining study for its Nowa Nowa iron project.

Easter Iron noted that the trading halt was requested so that the company can manage its continuous disclosure obligations.

According to the company, the trading halt will last until Thursday 30 September 2021 or when the announcement is released to the market.

What else did Easter Iron announce?

In addition to its trading halt, Easter Iron also announced changes to its Board.

The company has appointed Mr Jason Hou to the Board following the resignation of Mrs Therese-Marie Taylor.

Eastern Iron noted that Mr Hou has a professional background in finance and is well known to the company through his financial consulting services.

More on the Eastern Iron share price

Eastern Iron is an iron ore exploration company with its flagship Nowa Nowa Iron project located in Victoria.

Shares in Eastern Iron have had a stellar year thus far.

Since the start of 2021, shares in the company have stormed more than 344% higher.

Much of the company’s share price gain has been realised this past month.

There have been several catalysts that have helped propel the Eastern Iron share price higher.

Shares in the company took off in early September after announcing a joint venture with Ya Hua International Investment and Development Co Ltd to acquire and develop lithium projects.

The Eastern Iron share price received another boost following a strategic placement and equity raising earlier this month.

The placement of $1.05 million was made to Ya Hua, making the company a substantial shareholder of Eastern Iron.

An additional tranche of $2.52 million will be placed to sophisticated and institutional investors.

Before entering a trading halt, the Eastern Iron share price closed yesterday’s session at 4.3 cents.

Motley Fool contributor Nikhil Gangaram 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.

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