Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Sheffield to Raise $11.5m to Advance Mineral Sands Project

ASX ANNOUNCEMENT
9th May 2014

Sheffield to Raise $11.5m to Advance World Class Thunderbird Mineral Sands Project

Mineral Sands developer Sheffield Resources Limited (“Sheffield” “the Company”) (ASX:SFX) is pleased to advise that it has resolved to raise up to $11.5 million through a placement of up to 14.2 million shares at an issue price of 81 cents per share to sophisticated and professional investors (“the Placement”).

The Placement follows the release on 14 April 2014 of the Thunderbird Scoping Study results which highlighted the project’s large scale, long life and exceptional financial returns.

Hartleys Limited, Sheffield’s corporate advisor, is Broker to the Offer.

The funds raised pursuant to the Placement will be used to fund the following:

• Drilling to target extensions of high grade mineralisation at Thunderbird;
• Resource update and scoping study optimisation work at Thunderbird;
• Pre-feasibility studies at Thunderbird;
• Regional exploration at the Dampier Mineral Sands Project;
• Drilling Red Bull Nickel (Fraser Range) and Mt Vettel Iron Ore (Pilbara); and for
• General working capital purposes.

Sheffield’s Managing Director Bruce McQuitty commented “We are very pleased with the strong demand shown for the capital raising. It ensures Sheffield will have a robust balance sheet to deliver on significant upcoming milestones.”

“The Company will soon commence drilling to target extensions of high grade mineralisation at Thunderbird, with the aim of expanding the existing resource and enhancing the already outstanding project economics.”

“We look forward to delivering the Thunderbird Pre-feasibility Study in Q1 2015, followed by the Definitive Feasibility Study for our target of initial production in 2017.”

“Thunderbird is a world class mineral sands project that continues to deliver on the upside. The second half of 2014 will be another very exciting period for Sheffield,” Mr McQuitty said.

Subject to shareholder approval, Sheffield’s directors collectively have committed to contribute $320,000 in the Placement. Resolutions to approve directors participating in the Placement will be put to shareholders at an upcoming general meeting. The Placement (except for director’s participation) is not subject to shareholder approval and will be completed pursuant to the Company’s 15% capacity under ASX Listing Rule 7.1.

ENDS

ABOUT SHEFFIELD RESOURCES
Sheffield Resources Limited (Sheffield) is a rapidly emerging heavy mineral sands (HMS) company.

Sheffield’s projects are all situated within the state of Western Australia and are 100% owned by the Company.

*Assumes the Placement has settled (including director participation which is subject to shareholder approval)

HEAVY MINERAL SANDS
The Dampier project, located near Derby in WA’s northwest, contains the large, high grade zircon-rich Thunderbird HMS deposit. Sheffield is targeting first production from Thunderbird in 2017.

The Eneabba project comprises multiple HMS deposits and is located near Eneabba approximately 140km south of the port of Geraldton in WA’s Mid-West region.

Sheffield is also evaluating the large McCalls chloride ilmenite project, located 110km to the north of Perth.

NICKEL-COPPER
Sheffield’s Red Bull project is located in the highly prospective Fraser Complex within 20km of Sirius Resources NL’s (ASX:SIR) Nova Ni-Cu discovery.

IRON
Sheffield holds four exploration licences in the North Pilbara region which are prospective for iron and are located near existing iron ore mine sites or major development projects and within potential trucking distance of Port Hedland.

The Company plans to drill the Mt Vettel DSO project in Q2 2014.

POTASH
The Oxley potash project is located in the northern part of the Proterozoic Moora Basin, approximately 38km northeast of Three Springs. Sheffield is exploring the Oxley Potash project for unconventional hard rock potash mineralisation suitable for open pit mining.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Fonterra Slashes 2015 Milk Payout, Earnings Tumble 76%

Fonterra Cooperative Group cut its forecast 2015 milk price payout by about 12 percent, citing weaker global dairy prices and said there is a risk of further declines given strong global milk production. More>>

ALSO:

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news