Mali Lithium in trading halt pending capital raising news

Mali Lithium Ltd (ASX:MLL) has been granted a trading halt by the ASX with a capital raising announcement pending.

The trading halt will remain in place until the beginning of trade on Monday September 7 or when an announcement is made to market, whichever occurs first.

Shares last traded at 19.5 cents and have risen from 12.5 cents at the close on August 26.*Transformation to producer*

On August 31 the company's shares surged 36% on a transformational acquisition that will see it become a gold producer after securing an 80% interest in the operating Morila Gold Mine in southwest Mali from Barrick Gold Corp ((NYSE:GOLD) and AngloGold Ashanti Limited (NYSE:AU) for US$22-27 million.

The Morila mine has produced more than 7.4 million ounces of gold over 20 years from a 4.5 million tonnes per annum plant and will instantly transform Mali into a cash-generating gold producer.

Morila is producing gold from hydraulic mining and processing of tailings and will provide cashflow for Mali Lithium from completion of the acquisition.