Sheffield Resources Limited (ASX: SFX) has provided an update regarding its Thunderbird Mineral Sands Mine, owned by Kimberley Mineral Sands (KMS) in Western Australia. Sheffield Resources is focused on assembling a portfolio of global mineral sands development and production assets to generate cash returns and growth. Its core asset is a 50% investment in Kimberley Mineral Sands Pty Ltd (KMS), the owner of the world-class Thunderbird Mineral Sands Mine.
The announcement refers to ongoing discussions with KMS’s primary lenders, Orion Resource Partners (Orion) and the Northern Australia Infrastructure Facility (NAIF), regarding a potential project finance restructure associated with the Thunderbird Mine. Sheffield and Yansteel are guarantors to the senior secured loan facilities with Orion and NAIF. KMS, Orion, and NAIF have agreed to a waiver and deferral arrangement relating to the December 2025 interest and principal repayment obligations, as well as various covenant waivers associated with the senior secured facilities.
The waiver provides KMS with some breathing room as it navigates its financial obligations. While collaborative discussions with Orion and NAIF are continuing, there is no guarantee that a successful outcome will be concluded. Similarly, there is no assurance that KMS will receive the necessary funds from shareholders to meet its working capital requirements.
Sheffield Resources has stated it will continue to keep the market informed of any material developments concerning the business operations of KMS and the Thunderbird Mineral Sands Mine. The announcement was authorised for release by the Company’s Board of Directors.
