Dec 2 (Reuters) - Valence Industries Ltd VXL.AX :
* Advises that it will suspend processing activities at its Uley Graphitetm site near port Lincoln, south Australia.
* Suspension of processing onsite will reduce the company's operating costs by approximately $290,000 per month
* Decision to suspend processing was taken after extensive consideration of the company's financial position.
* Company's shares will remain in suspension until capital raising process is concluded, estimated to be early 2016
* "Existing production rate was uneconomic and could not continue"
* Negotiations with financiers will be jeopardised if co comes out of voluntary suspension prior to this time
* Source text for Eikon ID:nASX3NBlTZ