Sheffield Resources secures wharf access for Thunderbird

THE BOURSE WHISPERER: Sheffield Resources (ASX: SFX) has entered into an Access Agreement with the Shire of Derby-West Kimberley over the bulk handling facility at the Derby Wharf.

Sheffield described the Derby wharf to be well suited to the export of mineral sands products due to its previous working experience facilitating the export of up to 500,000 tonnes per annum of base metal concentrates from Western Metal’s Lennard Shelf operations.

The Prefeasibility Study (PFS) proposed final products from Sheffield’s Thunderbird minerals sands project to be transported in bulk form by a fleet of four quad road trains from the mine site to the Derby wharf for storage and export.

Bulk ilmenite, zircon and HiTi88 products will be off-loaded at the port export facility, from where they will be conveyed to a ship loader for transhipment via barge.

Sheffield said the agreement provides the company with exclusive access to the bulk handling facility.

“The agreement marks another major milestone for the company following the release last week of Prefeasibility Study results, confirming the Thunderbird mineral sands project as a world class, high margin project with a mine life of 40 years,” Sheffield Resources managing director Bruce McQuitty said in the company’s announcement to the Australian Securities Exchange.

“This binding agreement confirms Sheffield as the preferred proponent for the bulk handling facility at Derby Wharf allowing exclusive access during the definitive feasibility study to complete all work required to submit a development application and to complete terms of a sublease agreement by the 30th of June 2017.

“Securing port capacity is a significant step towards development of the Thunderbird project.

“Efficient and unconstrained access to export infrastructure is essential to establishing a cost effective mine-to-port logistics chain for our products.”