Harbinger halves Moly stake

One of Moly Mines' major shareholders, US hedge fund Harbinger Capital, has sold down nearly half of its stake in the company.

In a notice lodged with the stock market late this afternoon, Harbinger advised that its stake in Moly was now at 9.58 per cent, down from 17.62 per cent.

Harbinger became a substantial holder in Moly earlier this year when it took a 19.88 per cent stake, and maintained that interest until late last month when it lowered it to 17.62 per cent.

In today's notice, Harbinger advised it had sold just over 6.9 million shares since the end of last month for around 30 cents each, pocketing about $2.1 million.

Shares in Moly closed up 2c to 37c today.

Last month the company said it was instigating a concerted cost cutting program to conserve cash as it drew down the entire $US150 million interim financing facility, which will provide it with "financial security" for the next 12 months.

The company is focused on developing its $1.26 billion Spinifex Ridge molybdenum project in the Pilbara, however it has not been able to finalise funding for the entire project.

Moly was unavailable for comment at time of publishing.