Were you expecting the AVZ Minerals Ltd (ASX: AVZ) share price to return to trade at long last today?
Unfortunately, that won't be the case after the embattled lithium developer extended its suspension this morning.
AVZ shares remain suspended
According to the release, AVZ shares will now be suspended until the earlier of the start of November or the release of an announcement relating to its ownership of the Manono Lithium Project.
Though, as we have seen time and time again, the proposed date could be pushed further back once it arrives.
AVZ commented:
The Company advises that the subject of the initial trading halt request remains incomplete and requests a further extension to the voluntary suspension until the commencement of trade on 1 November 2022 or an earlier announcement to the market regarding its mining and exploration rights for the Manono Project.
AVZ's management will no doubt be hoping that this matter is resolved before it faces the wrath of shareholders and investors next month. It advised:
The Company will provide an update to the market on the status of its activities in the DRC ahead of its planned roadshows and AGM which are scheduled to be held next month.
What's going on?
AVZ is facing arbitration proceedings from China's Jin Cheng Mining in relation to an ownership dispute.
Jin Cheng claims it owns a portion of the project, whereas AVZ denies this. What ultimately happens, time will tell, but an unfavourable outcome could have a major impact on the company's valuation. So, these are undoubtedly uneasy times for investors.
Management remains optimistic, though. It recently stated that it is "confident of a positive outcome." We'll hopefully find out if that is the case in the near future.
