Investor Presentation Evenings - London and Leeds

RNS Number : 9626Z

Ferrex PLC

14 March 2013

 



Ferrex plc / Index: AIM / Epic: FRX / Sector: Mining

14 March 2013

Ferrex plc ('Ferrex' or 'the Company')

Investor Presentation Evenings - London and Leeds

Ferrex plc, the AIM quoted iron ore and manganese development company focused in Africa, is pleased to announce that it will be presenting at two investor forums in London and Leeds on the 19 and 20 of March 2013 respectively.

The Company will be presenting at the London Mining Maven investor evening at the Cote Brasserie, 26 Ludgate Hill, London, EC4M 7DR at 6pm on Tuesday 19 March 2013. To register to attend please go to the following link: www.miningmaven.com/investor-events/investor-evening-african-mining-a-exploration/

Ferrex is also attending the Shares Magazine and Redmayne-Bentley Investor Evening at the offices of Redmayne-Bentley, 9 Bond Court, Leeds, LS1 2JZ at 6pm on Wednesday 20 March 2013. To register to attend please go to the following link: http://investoreveningwednesday20thmarch2013leeds.eventbrite.co.uk/# 

At both events, Ferrex's Managing Director will be outlining the Company's growth strategy as it advances its solid portfolio of iron ore and manganese assets in Africa, which are close to established infrastructure and offer near-term value uplift through rapid resource and mine development. The Board looks forward to meeting both existing and prospective investors at the events.

**ENDS**

For further information visit www.ferrexplc.com or contact the following:

Dave Reeves	Ferrex plc	+ 61 (0) 420 372 740
finnCap		[phone]
Elizabeth Johnson / Joanna Weaving	Broking
Matthew Robinson / Henrik Persson	Corporate Finance
Felicity Edwards/ Elisabeth Cowell	St Brides Media and Finance Ltd	[phone]

Notes

Ferrex plc is an AIM quoted, leading iron-ore and manganese exploration and development company in Africa.   The Company is focussed on advancing low capex deposits, which benefit from proximal established infrastructure, up the development curve and into production. Ferrex has a solid portfolio of assets including three primary projects: Nayega Manganese Project in Togo ('Nayega'), Mebaga Iron Ore Project in Gabon ('Mebaga'), and Malelane Iron Ore Project in South Africa ('Malelane').

At Nayega, Ferrex is currently conducting a Bankable Feasibility Study which is due for completion in H1 2013, and expects to be developing it into production by the end of 2013/Q1 2014.  A Scoping Study indicates that Nayega could produce 250,000 tonnes per year of manganese concentrate at 38% with an initial capital expenditure of under $15m.   The Company anticipates that cash generated from production at Nayega will be used to assist in the future funding of development at its additional projects.  

In parallel with this, Ferrex is focussed on proving up resources at its Mebaga concession in Gabon. Earlier work at Mebaga by the BRGM, the French public earth sciences institution, produced an exploration target of 20Mt @ 60% iron (Direct Shipping Ore* ('DSO')).  Ferrex has full access to the BRGM records and plans to produce a JORC resource and Scoping Study before the end of 2013 at which time it will apply for a Mining Licence.

The Company also holds the Malelane Iron Ore concession in eastern South Africa. A Scoping Study on Malelane has demonstrated its potential to produce 1.8mtpa of beneficiated ore per year, with initial capital expenditure of $139m, a payback of 1.9 years, a Net Present Value of US$523m (10% discount rate) and a 16.6 year life-of-mine.  Conceptually, cash generation from Nayega and Mebaga will be utilised to obtain finance for Malelane once again limiting share dilution.

Ferrex will have 765,179,963 shares on a fully diluted basis after completion of the 82% Mebaga interest. The Directors have subscribed for and purchased approximately 35% of the issued share capital of the Company and thus aligned with shareholders interests.

*Direct Shipping Ore is ore which is high enough grade that the iron does not need capital intensive processing into concentrate at the mine. Conceptually it can simply be dug up, crushed to a uniform size, transported and sold.

 

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