Hot Features
Premium
Level up your trading with our powerful tools and real-time insights all in one place.
Ferrex plc, an AIM quoted exploration and development company focussed on advancing low capital-intensive iron ore and manganese deposits in Africa through the development cycle and into production, has announced its interim results for the six month ended 31 March 2014.
Overview:
· Solid progress made in exploring and developing Ferrex’s three core low capex iron ore and manganese projects in Africa which have excellent access to infrastructure and ports
· Milestones achieved at Mebaga DSO iron ore project in mineral rich Gabon, West Africa with an exploration target of 90-150 million tonnes (“Mt”) at 35 to 65 % iron (‘Fe’):
o Binding Term Sheet with Anglo American Plc (‘Anglo American’) and Kumba Iron Ore (Pty) Limited (‘Kumba’), signed in December 2013, to fund exploration including a scoping study
o Total of 9 diamond drill holes drilled, with a best intercept of 28.7m at 61.4% iron from surface – all 9 holes intercepted DSO mineralisation
o Completion of geological mapping evaluating 19km strike length of banded iron formation (‘BIF’) – identified new high grade iron ore mineralisation area in the eastern half of the Mebaga licence
· Definitive Feasibility Study (‘DFS’) ongoing at Nayega manganese (‘Mn’) project in northern Togo – due for completion pending the issue of a Mining Licence, the application for which has been submitted
· Progress made with development of the Malelane iron ore project in South Africa – upgraded Exploration Target to 1.6 to 2.0 billion tonnes (‘Bt’) and Pre-Feasibility Study (‘PFS’) work on environmental, social and labour studies currently underway
· Strengthened cash position through £700,000 placing in October 2013 and £1.655million in March 2014
· Directors aligned with shareholders through significant investment in the Company – March 2014 Managing Director Dave Reeves completed a directors dealing and has a beneficial interest in 117,327,876 Ordinary Shares in Ferrex representing approximately 12.6% of the Company
Chairman’s Statement:
During the six months under review Ferrex has made progress in advancing its multi-project portfolio of iron ore and manganese assets in Africa up the development curve. Our goal is to bring our projects into production as rapidly as possible to allow Ferrex to become a low-cost producer of minerals for the steel industry and start to generate revenues. Our core portfolio consists of quality projects close to infrastructure, and we believe that these assets offer significant growth potential for investors over the coming year and beyond as the Company advances them and completes key corporate transactions to provide finance for full-scale exploration and development.
