Vision Blue Investment Completion & Board Changes

RNS Number : 0617B

Ferro-Alloy Resources Limited

07 June 2021

 

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 which is part of  UK law by virtue of the European Union (Withdrawal) Act 2018.

7 June 2021

Ferro-Alloy Resources Limited ('the Company' or 'FAR')

Completion of Vision Blue Resources Initial Investment and Board Changes  

Further to the annoument of 1 June 2021, Ferro Alloy Resources Limited (LSE: FAR), is pleased to announce the completion of the Initial Investment by Vision Blue Resources. 

With effect from today, Sir Mick Davis has joined the board of the Company as Chairman and Mr. Peet Nienaber has assumed the role of Non-Executive Director. Mr. Chris Thomas has also assumed the role of Non-Executive Director.

The Company has now received the further investment of US$1.6m in addition to the investment of US$1.5m already made, bringing the total invested by Vision Blue and its coinvestors to date to US$3.1m.

For further information visit  www.ferro-alloy.com  or contact:

*ENDS*

Nick Bridgen, Chief Executive Officer  [e-mail]

Shore Capital (Corporate Broker)

Corporate Advisory: Toby Gibbs / Mark Percy / John More             Tel: [phone]

Corporate Broking: Jerry Keen

VSA Capital                                                              Tel: [phone]

Andrew Monk / Simon Barton

St Brides Partners Limited (Financial PR & IR Adviser)

Catherine Leftley / Susie Geliher   Tel: [phone]

Vision Blue Resources

Michael Oke/Andy Mills 

[e-mail]     Tel: [phone]

                                                                                                                          Mobile: [phone],

     [phone]

Capitalised terms in this announcement, unless otherwise defined, have the meaning given to them in the announcements of 15 March 2021 and 1 June 2021.

About Ferro Alloy Resources Limited:

The Company's operations are all located at the Balasausqandiq Deposit in Kyzylordinskaya Oblast in the South of Kazakhstan. Currently the Company has two main business activities:

a) the high grade Balasausqandiq Vanadium Project (the "Balausa Project"); and

b) an existing vanadium concentrate processing operation (the "Existing Operation")

Balasausqandiq is a very large deposit, with vanadium as the principal product together with numerous byproducts. Owing to the nature of the ore, the capital and operating costs of development are very much lower than for other vanadium projects.

A reserve on the JORC 2012 basis has been estimated only for the first ore-body (of five) which amounts to 23 million tonnes, not including the small amounts of near-surface oxidised material which is in the Inferred resource category. In the system of reserve estimation used in Kazakhstan the reserves are estimated to be over 70m tonnes in ore-bodies 1 to 5 but this does not include the full depth of ore-bodies 2 to 5.

There is an existing concentrate processing operation at the site of the Balasausqandiq Deposit. The production facilities were originally created from a 15,000 tonnes per year pilot plant which was then adapted to treat concentrates and expanded. Further expansion is being undertaken which is  expected to result in annualised production capacity of around 1,500 tonnes of contained vanadium pentoxide plus significant by-product molybdenum.

The strategy of the Company is to develop both the Project and the Existing Operation in parallel. Although they are located on the same site and use some of the same infrastructure, they are separate operations.

About Vision Blue Resources

Vision Blue was founded in December 2020 by Sir Mick Davis to create a portfolio of strategic and high returning investments in clean energy related metal and mineral resource companies essential to the clean energy transition..

Vision Blue will invest in undervalued and undercapitalised mining and processing companies: in established mining jurisdictions that are strategically important for customers; with well defined, advanced, scalable assets and committed management; that have low logistics, processing and technological risks with a clear path to new or expanded production; that have direct exposure to clean energy generation, storage and related infrastructure; and that are implementing a best in class ESG framework

 

END

 

 

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