More than 20% surge for NTU after receiving $5.5 million payment

By Trevor Hoey. Published at Jan 13, 2017, in Small Caps

Shares in emerging dysprosium producer, Northern Minerals (ASX:NTU) were up 22.7% in yesterday’s afternoon trading after the company announced that it had received part payment of $5.5 million from Huatai Mining in respect to the outstanding $18 million in subscription payments, which relates to an equity investment in NTU’s Browns Range project.

It should be noted historical data in terms of earnings performance and/or share trading patterns should not be used as the basis for an investment as they may or may not be replicated. Those considering this stock should seek independent financial advice.

The key issue behind the delay in payment which was originally due in 2016 related to recent policy changes by the State Administration of Foreign Exchange of China (SAFE), restricting the ability of Chinese entities to effect foreign currency transactions.

Consequently, it appeared at the time that the management of NTU was justifiably confident of full payment being received by January 31.

No doubt, news that the company has received circa 30% of the payment within a matter of days will assist in boosting investor confidence that this matter will be quickly resolved, a welcome development for management given that the issue has arguably placed a drag on the company’s share price in recent months.

The completion of this transaction will facilitate the company’s commitment to establish a pilot plant at Browns Range, and maintain the company’s position to become the world’s first significant producer of dysprosium outside of China.

Today’s rally has occurred under relatively strong volumes of 1.3 million shares, and the company is now within striking distance of its 12 month high of 17.5 cents.

It is worth bearing in mind based on today’s response that payment of the remaining $12.5 million later in the month could be a share price catalyst.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why is Australia’s leading small cap publication

Founded seven years ago, is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise. provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more. is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!