Sheffield Resources Limited

Report Highlights:

• Sheffield Resources has achieved a major milestone in October 2023 with the transition to full scale production at the Thunderbird Mineral Sands Mine. This was achieved ahead of schedule, on time, and within the original AUD 484M budget, despite challenges posed by global inflationary pressures.
• Alongside the successful ramp-up of production at Thunderbird, Sheffield made strategic investments in international projects, including a USD 2.5M investment in the South Atlantic Project in Brazil, supporting exploration and feasibility studies. The company is well-positioned for the future, with AUD 10M in cash, and expectations of sustained mineral sands production in the upcoming financial year.
• The company demonstrated outstanding safety performance over the 1.5 million hours of work completed during both construction and operational phases with zero lost time injuries. Sheffield has remained committed to employing its predominantly local workforce in the West Kimberley region, with 83% local residents and a diverse team with 30% Aboriginal employees and 29% female representation.

Release Highlights:

• Sheffield Resources (ASX: SFX) has entered into a variation agreement with Rio Grande Mineração S/A (RGM) to extend its initial option term from August 2024 to August 2025.
• SFX has previously agreed to invest USD 2.5 M in 2023 and 2024, with an additional USD 1.5M contribution now required to fund project activities and due diligence, payable in three instalments of USD 0.5M each starting mid-2025.
• If Sheffield exercises its option to acquire up to 20% interest in RGM, the total investment will amount to USD 15M, with the final decision to be made by August 2025, funded from Sheffield Resource’s existing cash reserves.

Presentation Highlights:

• Sheffield Resources Limited (ASX: SFX) is actively building a diverse portfolio of mineral sands development and production assets worldwide. Their core focus includes the Thunderbird Mineral Sands Mine in Australia, which boasts the world’s largest high-grade zircon reserve, and a significant exploration project in the South Atlantic region of Brazil.
• The Thunderbird Mine, a 50/50 joint venture with Yansteel, is progressing well with Stage 1 nearing its nameplate mining capacity of 10 to 12 million tons per annum. Positive operating cash flow is anticipated starting in September 2024. Stage 2 of the project, planned for post-2026, aims to double mining capacity, increase final product output by 50%, and extend the mine’s life from 33 to 36 years, all from existing reserves, highlighting the project’s robust potential and low-risk profile.
• In the South Atlantic region of Brazil, Sheffield Resources has committed US$2.5 million for an option to acquire a 20% interest in a promising project by investing an additional US$12.5 million. The project, located in Rio Grande do Sul, has an exploration target of 500 to 720 million tons at 3.2 to 4.0% heavy minerals. A 10,000-meter drilling campaign began in early 2024, and a Pre-Feasibility Study (PFS) is expected by Q3 2024, indicating a strong potential for future growth and development in the region.

Sheffield Resources Limited will host a shareholder webinar on Thursday 25 July at (2.30pm Perth / 4.30pm Sydney) to present June 2024 quarterly results and offer an open dialog with investors.

The mine commenced production in late 2023 ahead of schedule and on budget, with production ramp up now underway, with bulk shipments regularly scheduled for all products.

Hosted by Bruce Griffin, Executive Chair.

Register your attendance here: https://us06web.zoom.us/webinar/register/WN_9ShY1OtwTgK04upg8RjHqg#/registration

Report Highlights:

• Sheffield Resources, holding a 50% interest in Kimberley Mineral Sands (KMS), has reported notable advancements at the Thunderbird mine during the June quarter. The mine achieved significant production improvements, mining 2.5 million tons of ore and producing 165,014 tons of concentrate. Production is expected to stabilize between 2.5 and 3.0 million tons per quarter, with the process plant performing at or above design specifications.
• Sheffield Resources made significant progress on its South Atlantic Project in Brazil, with a 10,000-meter drilling program well advanced and expected to be completed by the September quarter. Additionally, a pre-feasibility study and a Mineral Resource estimate for the project are anticipated in the same timeframe. Despite regional flooding, the project remains on track for these key milestones.
• As of June 30, 2024, Sheffield Resources reported a cash balance of AUD 9.9 million. The company has announced an investor and shareholder webinar scheduled for July 25, 2024, to discuss the quarterly results and provide further updates on their ongoing projects and financial status.

Video Highlights:

• In June 2024, the Thunderbird Mine produced approximately 825,000 tons of ore, 55,000 tons of ilmenite, and 13,000 tons of zircon, with shipments expected to reach a record 90,000 tons of concentrate.
• Sheffield Resources contributed AUD 7.5MM to KMS for working capital, with total ore mined for the June 2024 quarter projected to be 2,200,000 tons, 20% above the 2022 Bankable Feasibility Study estimates, and recovery rates at the Wet Concentrator Plant and Concentrate Upgrade Plant exceeding design rates.
• June 2024 is set to be a record month for shipments, potentially reaching an annualized rate of 1,100,000 tons per annum, and positive operating cash flows are anticipated from the September 2024 quarter onwards.

Release Highlights:

• Sheffield Resources is pleased to announce its increased mining production at the Thunderbird Mineral Sands Mine in June 2024, with approximately 825,000 tons of ore producing 55,000 tons of ilmenite concentrate and 13,000 tons of zircon concentrate, with expected shipments of 90,000 tons.
• Operational improvements and higher recovery rates resulted in an 85% yield of final products from the ore mined, while Sheffield and Yansteel each contributed AUD 7.5mm to KMS for working capital, anticipating positive cashflows by September 2024.
• Sheffield oversaw record shipments in June 2024, including 48,000 tons of ilmenite and 22,000 tons of zircon concentrate, with total shipments for the quarter reaching 190,000 tons.

Release Highlights:

• Sheffield Resources Ltd. is pleased to announce significant increase in production at the Thunderbird Mineral Sands Mine in Western Australia, achieving approximately 750,000 tons in May 2024, compared to the 1,350,000 tons produced for the current quarter.
• Modifications to the Dry Mining Unit have led accelerated processing of ilmenite and zircon concentrates. Despite material and inflationary challenges, Thunderbird is advancing towards its annualized mining target of 10,000,000 tons.
• Beyond Thunderbird, Sheffield is active in the mineral sands sector, including advancing the South Atlantic Project in Brazil, which has faced delays due to severe flooding. Sheffield is also negotiating a potential acquisition of an interest in the Eastern Minerals Project in Sri Lanka. Despite some pricing pressures, Thunderbird is on track, reinforcing its status as a world-class mineral sands asset with long-term potential.

Video Highlights:

• Sheffield Resources owns 50% of the world’s largest zircon reserve, the Thunderbird Mine located in Kimberley, Western Australia. The mine commenced production in Q4 2023 ahead of schedule and on budget, with ramp up currently underway.
• Additionally, Sheffield has an option to acquire an interest in the South Atlantic Project in Brazil and has also recently announced a 10% interest in AIM listed Capital Metals Plc, with potential 100% ownership of a mineral sands project in Sri Lanka.
• First cashflow was achieved during Q1 2024, with bulk shipments now regularly scheduled for all products. These growth options provide a pathway for Sheffield to become a global, multi asset, mineral sands producer.

Report Highlights:

• Production from the Thunderbird Mineral Sands Mine in the Kimberley region of Western Australia progressed during the quarter with ore mined totaling 1.1Mt and concentrate production of 101,716 dry metric tonnes.
• A Pre-Feasibility Study (PFS) for the South Atlantic Project in Rio Grande do Sul Coastal Plain is currently underway via experienced engineering and mineral sands consultancy Hatch, which will include relevant development options for the Project.
• During the quarter, Sheffield announced it has entered into a share subscription agreement with Capital Metals Plc (AIM: CMET), the owner of the Eastern Minerals Project in Sri Lanka, with Sheffield acquiring a 10% interest in CMET.