Sheffield raises cash for Thunderbird
PERTH (miningweekly.com) – Mineral sands developer Sheffield Resources was hoping to raise up to A$11.5-million in a share placement to advance its Thunderbird project, in Western Australia.
The ASX-listed company said on Friday that it would place up to 14.2-million shares, at an issue price of 81c each, to sophisticated and professional investors, to raise the funds.
Sheffield’s directors have collectively committed to contribute A$320 000 in the placement, subject to shareholder approval.
“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,” said MD Bruce McQuitty.
He noted that the company would start drilling at the Thunderbird project to target extensions of the high-grade mineralisation, with the aim of expanding the existing resource and enhancing the project economics.
A recently completed scoping study indicated that, based on a current resource of 2.62-billion tonnes, grading 6.5% heavy mineral sands, for 170-million tonnes of contained heavy mineral sands, the project could, on average, deliver 118 200 t/y of zircon, 545 000 t/y of ilmenite and 21 700 t/y of rutile and leucoxene.
The Thunderbird project was expected to have a mine life of 32 years.
The scoping study further estimated that with a preproduction capital expenditure of about A$257-million, plus a A$37-million contingency, Thunderbird was expected to deliver an operating cash flow of about A$5-billion over the project life, and yearly earnings before interest, tax, depreciation and amortisation of A$140-million.
McQuitty said on Friday that a prefeasibility study for the Thunderbird project was due in the first quarter of 2015, which would be followed by a definitive feasibility study. Production was targeted for 2017.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation