/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
VANCOUVER, BC, Aug. 31,
2022 /CNW/ - Macarthur Minerals
Limited (TSXV: MMS) (ASX: MIO) (OTCQB: MMSDF) (the
Company or Macarthur), is holding its 2022 Annual
General Meeting today.
Attached is a copy of the Chairman's address.
On behalf of the Board of Directors, Mr Cameron McCall, Executive Chairman
Company profile
Macarthur is an iron ore development, and lithium exploration
company that is focused on bringing to production its Western Australia iron ore projects. The Lake
Giles Iron Project mineral resources include the Ularring hematite
resource (approved for development) comprising Indicated resources
of 54.5 million tonnes at 47.2% Fe and Inferred resources of 26
million tonnes at 45.4% Fe and the Lake Giles magnetite resource of
53.9 million tonnes (Measured), 218.7 million tonnes (Indicated)
and 997 million tonnes (Inferred). The Lake Giles Iron Project also
contains Proven Ore Reserves of 51.9 Mt and Probable Ore Reserves
of 184.7Mt. Macarthur also holds 24 square kilometre tenement area
iron exploration interests in the Pilbara region of Western Australia. In addition, Macarthur has
lithium brine Claims in the emerging Railroad Valley region in
Nevada, USA.
Caution Regarding Forward Looking
Statements
Certain of the statements made and information contained in this
press release may constitute forward-looking information and
forward-looking statements (collectively, "forward-looking
statements") within the meaning of applicable securities
laws. All statements herein, other than statements of
historical fact, that address activities, events or developments
that the Company believes, expects or anticipates will or may occur
in the future, including but not limited to statements regarding
expected completion of the Feasibility Study; conversion of Mineral
Resources to Ore Reserves or the eventual mining of the Project,
are forward-looking statements. The forward-looking
statements in this press release reflect the current expectations,
assumptions or beliefs of the Company based upon information
currently available to the Company. Although the Company believes
the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees
of future performance and no assurance can be given that these
expectations will prove to be correct as actual results or
developments may differ materially from those projected in the
forward-looking statements. Factors that could cause actual
results to differ materially from those in forward-looking
statements include but are not limited to: unforeseen
technology changes that results in a reduction in iron or magnetite
demand or substitution by other metals or materials; the discovery
of new large low cost deposits of iron magnetite; the general level
of global economic activity; failure to complete the FS; inability
to demonstrate economic viability of Mineral Resources; and failure
to obtain mining approvals. Readers are cautioned not to
place undue reliance on forward-looking statements due to the
inherent uncertainty thereof. Such statements relate to future
events and expectations and, as such, involve known and unknown
risks and uncertainties. The forward-looking statements contained
in this press release are made as of the date of this press release
and except as may otherwise be required pursuant to applicable
laws, the Company does not assume any obligation to update or
revise these forward-looking statements, whether as a result of new
information, future events or otherwise.
CHAIRMAN'S ADDRESS
1. Welcome
Good morning Ladies and Gentlemen.
I have pleasure in welcoming you to the 2022 Annual General
Meeting for Macarthur Minerals Limited.
My name is Cameron McCall,
Chairman of Macarthur, and I preside as the Chairperson of today's
meeting in accordance with the constitution.
2. Format of Meeting
In a moment, I will make some remarks about the Company's
progress and other matters. We will then attend to the formal
business of the meeting.
3. Open of Meeting / Quorum
It is now the appointed time for the meeting and the quorum is
present. I formally declare the meeting open.
4. Introductions
I'm joined this morning by:
- Alan Spence Phillips
(Non-executive Director);
- Alan Joseph Phillips (CEO and
Managing Director); and
- Mima Wirakara (Company Secretary).
Also here with us is Ryan Welker
who will be appointed to the Company's Board of Directors effective
from tomorrow, 1 September 2022.
Meeting apologies were received from Andrew Suckling (Non-Executive Director) who
lives in New York and unable to
travel to attend in person as well as Ian
McCall (CFO).
Albert Loots, representing our
auditors RSM Australia Pty Ltd, is also present. He is available to
answer any relevant questions pertaining to audit matters that you
may wish to ask later in the meeting, and I thank him for attending
today.
We also welcome Jessie Yerma and her team from Computershare and
would like to acknowledge and thank you, for your assistance with
the conduct of today's meeting.
5. The Year in Review
On behalf of the Board, I would like to take the opportunity to
provide some highlights on a truly remarkable year for Macarthur
and the significant achievements over the last 12 months. In
another year of global uncertainty, we have maintained focus and
discipline to deliver values to our shareholders.
The year has been focused on:
- the completion of the engineering and geological works program
to support the definition of a maiden Ore Reserve Statement and
Feasibility Study for the Lake Giles Iron Project; and
- the spinout of the Company's non-iron ore assets into Infinity
Mining Limited in December 2021.
In August 2021, Macarthur was
trading at A$0.70 with a notional
market cap approaching A$100million.
Since that time, we have added value in the form of a material
shareholding in Infinity Mining and the release of a positive
feasibility study with a net present value (NPV) of A$816million for the Lake Giles Iron Project.
In view of the current world economy, there have been no major
shifts in the fundamentals of the project with the Company in the
pre-construction phase, therefore inflation is not impacting our
project and the iron ore price is tracking the 10-year average
price as used in the Feasibility Study analysis. Demand for
iron ore remains high and the recently announced Chinese Government
support for their domestic building and construction industry will
go a long way in underpinning this demand.
Infinity Mining Limited ASX Spin-out
- Macarthur completed the spin out of its non-iron Pilbara assets
through an initial public offering ("IPO") of Infinity Mining
Limited. Under Australian Securities Exchange ticker IMI, Infinity
was listed in December 2021 and
successfully raised $1.5m seed
funding and $10m Initial Public
Offering (IPO).
- Following its listing, Infinity exited the Macarthur Group.
Macarthur Australia Limited, a wholly owned subsidiary of
Macarthur, as a seed capitalist owns a 20.74% holding in Infinity
and became a substantial holder.
- In July 2022, Macarthur increased
its holding to 21.65%.
- The Company executed a Shared Services Agreement with Infinity
in September 2021 to make available
qualified personnel as required by Infinity from time to time, to
fulfil the functions of Company Secretary, Corporate Governance
support, legal and project management services subject to Infinity
Mining requests and instructions. The shared services agreement has
contributed positively to the reduction of administrative overheads
between the two listed entities.
- The Company also entered into a Tenement Sale and Non-Iron Ore
Rights Agreement in August 2021,
under which Infinity sold its Strelley Gorge E45/4735 and Tambourah
E45/5324 tenements to Macarthur Iron Ore Pty Ltd, a wholly owned
subsidiary of Macarthur to which Infinity retained all rights to
explore for, extract and sell all minerals excluding iron ore from
these tenements.
Lake Giles Projects
- In March 2022, the Company
delivered a maiden Ore Reserve of 237
Mt for a 25-year mine life with positive project economics,
with pre-tax NPV of USD 579m (AUD
816m) and completed the Feasibility
Study for its high-grade magnetite Lake Giles Iron Project for a 3
Mtpa (dry basis) magnetite mining and processing operation,
targeting 66% Fe with minimal impurities suitable for pellet
feedstock.
- Independent Technical Report, entitled "NI 43-101 Technical
Report and Feasibility Study, Lake Giles Iron Project, Menzies,
Western Australia" was filed under
the Company's profile on the System for Electronic Document
Analysis and Retrieval ("SEDAR") website in April 2022.
- In May 2022, the Company
appointed a Strategic Sub-Committee to assist the Board of
Directors for the purpose of the development, assessment, and
implementation of the Company's plan for the development of the
Lake Giles Iron Project and associated infrastructure as the
Company continues to focus on core fundamentals and project
delivery. This committee is now well established and underway on
the task of delivering strategic partners for the major logistics,
mining, construction, and support infrastructure (power and water)
required to bring the Lake Giles Iron Project out of the ground.
The strength of the partners will ensure a quality debt component
to the projects' financing.
Financing
- In April 2022, Macarthur
completed an oversubscribed A$7.5m
private placement at a price of AUD $0.50, with institutional and sophisticated
investors.
Conclusion
Before we proceed with the formal business of the meeting, on
behalf of the Board, I would like to take this opportunity to thank
the entire Macarthur team who delivered the excellent results in
2022 while continuing to adapt to a dynamic external environment
and to welcome Ryan Welker to the
Board. Ryan has extensive commercial finance and mining experience
and will be an invaluable asset to Macarthur. We look forward to
working with him as we develop our Lake Giles Iron Project.
I would also like to extend my appreciation to our shareholders
for their ongoing support and conclude by recognising the
significant contribution of Joe
Phillips, who is retiring as Managing Director effective
from the end of this meeting and Chief Executive Officer effective
from tomorrow, 1 September 2022 to
which I will assume the position. Joe's exceptional leadership has
been invaluable, demonstrating the focus to progress the Lake Giles
Iron Project to the advanced stage it is today. Going forward,
Joe's engagement will be Project Consultant to advise the Macarthur
Strategic Sub-Committee. Joe will remain as the Executive Chair of
Infinity Mining Limited, a company that has some very exciting
lithium projects in the Pilbara to which Macarthur is a significant
holder with 21.65% interest.
Thank you.
Cameron
McCall
Executive Chairman
SOURCE Macarthur Minerals Limited