The ASX has asked Fraser Range Metals why it’s not exploring — as it said it would in its prospectus last year.

Fraser Range (ASX:FRN) relisted in March 2016 after a three-year hiatus, promising to spend about $1.9 million on exploration in 2016 and 2017.

In a detailed analysis of the promises Fraser Range made in its prospectus, the ASX asked “why the amounts expended by the Company on exploration and evaluation since the date of its Prospectus have been so much lower than was forecast in the Prospectus”.

Fraser’s January 2016 prospectus said: “Initially, the company will conduct exploration programs … and seek to drive capital growth for shareholders through achieving exploration success.

“During the first year, it is proposed that geophysical surveys … will be undertaken and to generate nickel-copper targets for initial drill testing.

“The second year programs will involve additional aircore drilling, reverse circulation and/or diamond drilling, supported by downhole geophysical surveys.”

Fraser Range (ASX:FRN) has so far spent $373,000 on exploration.

That’s about the same as the $358,000 it spent on administration costs between March 2016 and August 2017.

Fraser explained its lack of exploration activity on negative commentary around nickel prices that began soon after it listed.

“The company sees access to capital, and inefficient capital management, as key elements of failed junior explorers listed on the ASX.

“The company is mindful of its duties to prudently conserve shareholder capital during a depressed commodity cycle.

Fraser has instead focused on low-cost activities such as the analysis of previous drilling results and an application for another project, the Dundas Project.

Fraser Range fell 9 per cent to 2c in Tuesday afternoon trade, valuing the company at $5 million.

The company has been contacted for comment.