[Ferro-Alloys.com]Gulf Manganese Corporation (ASX:GMC) is progressing its planned ferromanganese smelter in Timor with EBITDA of US$ 374.7 million, NPV of US$160.6 million and start-up capital investment of US$66 million staged over five years.

The company is now in an ASX trading halt regarding a proposed capital raising.

This will last until the earlier of the announcement being made or the start of trade on Friday, 31st July 2015.

Other key metrics of the proposed smelter project include:

- NPV at US$160.6 million;

- IRR of 55.6%; and

- Payback expected within two years.

Gulf plans to build eight furnaces over a four year period that will produce a premium quality 78% ferromanganese alloy resulting from the unique qualities of the Indonesian high-grade low impurities manganese ore.

The first two furnaces are planned to be built during 2015 and are expected to come online in July 2016.

This will be followed by a further two furnaces each year in 2017, 2018 and 2019.

• [Editor:Sophie]