REG - Ironveld PLC - Operational Update

IronveldAnnouncement

06/03/2025 17:30

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RNS Number : 7175Z  Ironveld PLC  06 March 2025

6 March 2025

This announcement contains inside information

 

Ironveld PLC

Operational Update

 

Ironveld PLC ("Ironveld" or the "Company"), the owner of a, High Purity Iron
("HPI"), Vanadium, and Titanium project located on the Northern Limb of the
Bushveld Complex in Limpopo Province, South Africa, is pleased to announce
that on 5 March 2025, its subsidiary, Ironveld Holdings signed an updated term
sheet with Sable Exploration and Mining Ltd. ("SEAM") regarding the Company's
joint venture at the Lapon magnetite plant in Limpopo Province, South Africa
(the "Plant").

Following successful renegotiations, Ironveld has revived the agreement with
SEAM and has committed to funding the completion of the beneficiation plant,
from the funds raised from the capital raise completed in November 2024.
Commissioning of the Plant is expected to take place within the coming weeks,
with the Plant set to process, produce, market, and sell DMS-grade magnetite.

Following completion of the Plant, the joint venture will be structured as a
50/50 partnership between Altona Processing (Pty) Ltd, a wholly owned
subsidiary of Ironveld Holdings, and SEAM's wholly owned subsidiary, Lapon
Plant (Pty) Ltd. As part of the renegotiated agreement, SEAM has also
committed to a prepayment of R5,000,000 for DMS grade magnetite material.

The revised joint venture agreement remains subject to signing of the final
contract and therefore the terms expected to be agreed remain subject to
change.

Ironveld is pleased to report that, despite heavy rainfall in Limpopo
Province, construction of the DMS plant remains on track. Commissioning of the
Plant and first magnetite production is expected in March 2025, with the first
commercial production scheduled for April 2025.  Management anticipates that
the Plant will reach full operational capacity by the end of April 2025.

Ironveld Mining is actively clearing the mine site following the heavy rains
and preparing to deliver ore for the DMS plant's commissioning. Community
engagements continue, and the company has made its first contribution towards
the academic requirements of the Social Labour Program.

Ironveld Smelting has made significant progress on the design of the
water-based atomizer for producing market samples, with consultants having
completed an initial layout. The final design and cost estimates are expected
by the end of April.

Accounts Update

The Company continues to work towards publication of its annual accounts,
which is now expected to occur by the end of March 2025, at which point
trading of shares is expected to resume.

Kris Andersson, CEO of Ironveld, commented: "The renegotiated agreement with
SEAM significantly enhances Ironveld's position, increasing our equity stake
in the DMS project from 25% to 50%. We are excited to collaborate with SEAM on
this strategic partnership and look forward to advancing the project
together."

 

For further information, please contact:

 

 Ironveld plc                                            c/o BlytheRay

 Kristoffer Andersson, Chief Executive Officer           +44 20 7138 3204

 Cavendish Capital Markets Limited (Nomad and Broker)    +44 20 7220 0500

 Derrick Lee / Adam Rae
 Turner Pope Investments (TPI) Ltd (Joint Broker)        +44 20 3657 0050

 Andrew Thacker / James Pope
 BlytheRay                                               +44 20 7138 3204

 Tim Blythe / Megan Ray

 

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