News 50- 200 million....https://www.stockhouse.com/news/press-releases/2017/02/14/singaporean-steel-and-shipping-group-signs-funding-mandate-for-macarthur
VANCOUVER, BC--(Marketwired - February 14, 2017) - THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Macarthur Minerals Limited (TSX VENTURE: MMS) (the "Company" or "Macarthur Minerals") is pleased to announce that it has entered into a non exclusive mandate with the Tulshyan Group to raise up to A$200 million with an initial tranche of A$50 million to develop the Company's Ularring hematite iron ore project located in Western Australia.
The Tulshyan Group made a strategic investment in the Company in January this year. The Tulshyan Group, based in Singapore, is one of the largest recyclers of scrap steel in the world, has a significant shipping business with a fleet of over 30 ships and is expanding its commercial aircraft leasing business. The Tulshyan Group has significant experience in sales, marketing of steel and iron ore and access to capital for potential development of the Company's Western Australian iron ore projects.
David Taplin, President, CEO and Director of Macarthur commented:
"Macarthur Minerals is pleased to be working with Tulshyan Group to raise funds to develop the Company's Ularring hematite project. Tulshyan brings to Macarthur significant experience in shipping, sales, marketing of steel and iron ore and has access to capital to assist in potential development of the Company's Western Australian iron ore projects. We are now observing good indications that the price of iron ore has recovered from its 2015 low of US$38.301 per tonne to a spot price today of US$92.232 per tonne with the advantage of a favourable exchange rate due to deprecation of the Australian dollar against US dollar."
Australian Iron Ore Projects
Macarthur Minerals' iron ore projects are located on mining tenements covering approximately 62km2 located 175 km northwest of Kalgoorlie in Western Australia (Figure 1 and Figure 2). Within the tenements, at least 35 km strike extent of outcropping banded iron formation ("BIF") occurs as low ridges, surrounded by intensely weathered and mostly unexposed granites, basalts and ultramafic rocks.
The Iron Ore Projects consist of two distinct mineral projects:
- The Ularring hematite project: encompassing hematite iron ore ("hematite"), to be marketed as potential direct shipping and/or beneficiated iron ore; and
- The Moonshine magnetite project: encompassing magnetite iron ore ("magnetite"), to be marketed as a beneficiated magnetite concentrate.
The Company has been maintaining the core iron ore projects' assets and they remain valuable assets having previously spent over $60 million to develop them. There is real potential for the iron ore projects to add significant value with the recovery of global iron ore markets.
Since July 2006 Macarthur Minerals has drilled 1,841 reverse circulation percussion drill holes (142,443 metres) and 49 diamond holes (4,170 metres) targeting iron mineralisation associated with BIF units. Exploration at both Ularring hematite and Moonshine magnetite projects has been sufficient to allow the estimation of Mineral Resources for both projects.
The Ularring hematite project's Mineral Resource consists of Indicated 54.46 Mt @ 47.2% Fe and Inferred 25.99Mt @ 45.4% Fe3. Macarthur Minerals published a Pre-Feasibility Study in 2012, reporting Mineral Reserves4.
The Company has received approval to develop an iron ore mine for the Ularring hematite project and associated infrastructure at the project location under the Environmental Protection Act 1986 and the Environmental and Biodiversity Conservation Act 1999.
Read more at https://www.stockhouse.com/news/press-releases/2017/02/14/singaporean-steel-and-shipping-group-signs-funding-mandate-for-macarthur#QAJMBXCjJFQDR6jr.99