1. 82.9k

    As noted in Iluka Resources’ March 2021 Quarterly Review, Sierra Rutile continues to face acute
    business challenges, particularly since the onset of the COVID-19 pandemic. Its operational
    performance has been below expectations, resulting in a financial performance that is unsustainable.
    Accordingly, on 19 May 2021, Sierra Rutile provided the Government of Sierra Leone six months’ notice
    of its intention to temporarily suspend operations at Sierra Rutile, effective 19 November 2021. This
    notice has been provided in accordance with section 118 of the Sierra Leone Mines and Minerals Act
    2009 (the Act).
    During the six month notice period, Sierra Rutile will:
    1. evaluate the feasibility of continuing mining operations in the existing mining area, through
    implementing cost reductions and improved productivity, and continue the evaluation of the
    feasibility of developing the Sembehun group of deposits – the Sembehun deposits are situated
    20 to 30 kilometres north-west of the current mining operation in Area 1 and collectively represent
    one of the largest and highest quality known rutile deposits in the world; and
    2. continue the process currently underway to identify third parties willing to invest in the next phase
    of Sierra Rutile’s development.
    If Sierra Rutile is able to identify and implement reductions to the cost base of its operations so that it
    can return to profitability and attract new investors for the continuation of mining operations in the
    existing mining area (Area 1) and pursue the Sembehun development, then Sierra Rutile will withdraw
    the suspension notice and mining operations will continue.
    Sierra Rutile will engage collaboratively with the Sierra Leone Government in the development of
    measures to address the financial performance of Sierra Rutile’s operations and facilitate the
    development of Sembehun, with a view to avoiding or minimising the duration of a suspension. Under
    section 118 of the Act, a suspension of operations of this nature cannot exceed two years. To the
    extent that such efforts are not successful within this two year period, Sierra Rutile would move into
    closure and rehabilitation.
    Sierra Rutile’s production outlook of 145 thousand tonnes of rutile for 2021 is withdrawn. The company
    anticipates an update to its Reserve statement for Area 1 at Sierra Rutile at year end.
    This document was approved and authorised for release to the market by Iluka’s Managing Director.

    courtesy of Bell Direct
    i hold ILU

    looks like that $4 a share top-up price is possible once more

  2. 82.9k

    Iluka has today released the Demerger Booklet containing information regarding the proposed
    demerger of Sierra Rutile Holdings Limited (Sierra Rutile).
    The demerger will result in two independent ASX-listed companies. Iluka will continue to be a leading
    global supplier of critical minerals. Sierra Rutile will be a West African focused mineral sands producer
    and developer, with principal business activities including the operation of its existing Area 1 mine;
    and progressing the development of the globally significant Sembehun project.
    Iluka shareholders will have the opportunity to vote on the demerger at a meeting on 22 July 2022.
    If the demerger proceeds, eligible shareholders will be entitled to receive one share in Sierra Rutile for
    every Iluka share held at the demerger record date (5.00pm AWST 28 July 2022).
    Iluka’s Directors unanimously recommend that shareholders vote in favour of the proposed demerger.
    The Independent Expert, Deloitte Corporate Finance Pty Limited, has concluded that the demerger is
    in the best interests of Iluka shareholders.
    It is expected that the distribution of Sierra Rutile shares to Iluka shareholders will qualify for demerger
    tax relief. As is usual, this is subject to a final ruling being issued by the Australian Tax Office post
    demerger implementation.
    Detailed information relating to the demerger is included in the following documents which have been
    lodged with the ASX and posted on Iluka’s website
    • Chairman’s Letter to shareholders
    • Demerger Booklet
    • Sierra Rutile investor presentation
    • Proxy Form – General Meeting
    • Demerger Sale Facility Form
    Subject to shareholder approval, it is expected that Sierra Rutile shares will commence trading on the
    ASX on a deferred settlement basis from 27 July 2022.
    Teleconference details
    Iluka will host a conference call for equity market participants to discuss the proposed demerger. The
    call will take place at 8.00am (AWST) on Monday, 20 June 2022. Participants wishing to join the
    conference call are advised to pre-register online by following the link the below.
    Joining the conference call:
    1. Please register in advance of the conference call using the link provided below. Upon
    registering you will be provided with participant dial-in numbers, Direct Event passcode
    and unique registrant ID. The conference ID is:1444168
    2. In the 10 minutes prior to the event start time, you will need to use the conference access
    information provided in the email received at the point of registering.
    Direct Event online registration: https://apac.directeventreg.com/registration/event/1444168
    This document was approved and authorised for release to the market by Iluka’s Managing Director.

    i hold ILU

  3. 82.9k

    Iluka is pleased to announce it has awarded Fluor Australia (Fluor) the contract to complete the Front
    End Engineering Design (FEED) and undertake Engineering, Procurement and Construction
    Management (EPCM) services for the Eneabba rare earths refinery.
    This is an important step in the delivery of the refinery and Iluka’s rare earths diversification. Fluor has
    over 100 years of experience in engineering, procurement and construction services and has a strong
    record in project delivery. Iluka looks forward to working closely with Fluor to ensure successful
    execution of this globally significant development.
    Iluka announced the final investment decision for the Eneabba refinery on 4 April 2022.
    This development is fully funded under a risk sharing arrangement between Iluka and the Australian
    Government. The refinery will be fully integrated, producing light and heavy separated rare earth
    oxides and capable of processing feedstocks from Iluka’s portfolio and from a range of third party
    suppliers. This includes both mineral sands and rare earths deposits. Construction is scheduled to
    commence later this year, with first production scheduled for 2025.
    This document was approved and authorised for release to the market by Iluka’s Chief Financial
    Officer and Head of Development.
    Investor and media enquiries
    Luke Woodgate
    Group Manager, Investor Relations and Corporate Affairs
    Mobile: + 61 (0) 477 749 942
    Email: investor.relations@iluka.com

    i hold ILU

    not a particular fan of REEs and no production before 2025 rates this as a ' nothing-burger ' for me , but others might disagree

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