Sheffield Resources Ltd. on Oct. 18 announced it is securing a US$200 million debt finance facility package to develop its Thunderbird mineral sands project in Western Australia.
The company appointed Taurus Mining Finance Fund and Taurus Mining Finance Annex Fund as the mandated lead arrangers and underwriters. The Taurus package will include a US$175 million term loan facility and a US$25 million contingent instrument facility.
The deal will only go through after further due diligence from Taurus' investment committee, expected to be complete by the end of the first quarter of 2018.
Sheffield also has the option to secure a US$10 million unsecured equity bridge facility.
In a separate Oct. 18 statement, the company also said it appointed GR Engineering Services Ltd. as the preferred engineering, procurement and construction, or EPC, tenderer of the mineral processing plant and facilities at Thunderbird.
The proposed fixed-price, lump sum contract comprises a new 7.5-million-tonnes-per-annum mineral processing plant and supporting infrastructure.
The companies have entered into an early works agreement before signing an EPC contract, and GR Engineering will start early engineering and long-lead procurement for the project.