Voluntary administrators appointed for MZI

16th April 2019 By: Creamer Media Reporter

RMB Resources, the 60% shareholder of MZI Resources, has appointed Rob Kirman, Rob Brauer and Jason Preston as voluntary administrators of the ASX-listed mineral sands company, independent advisory firm McGrathNicol announced on Tuesday.

The administrators would oversee the listed entity, MZI, and their appointment did not extend to any of the wholly owned subsidiaries, their operations or the Keysbrook mineral sands mine, which was being sold.

McGrathNicol said the administrators would continue to operate MZI on a “business-as-usual” basis, while options for the sale and/or recapitalisation of the business were explored.

MZI in January announced that it was looking for a buyer for the Western Australia-based Keysbrook, arguing that a new owner would be better placed to build on existing operations within a more conducive capital structure, implement value initiatives, and place greater strategic value on MZI’s product stream.

The mine has failed to impress, despite several changes and despite a number of improvements beinf made to the operation.