Sheffield Resources Ltd. said May 29 that it signed a nonbinding memorandum of understanding for the future sale of high-quality low-temperature roast ilmenite produced from the Thunderbird mineral sands project in Western Australia.

Under the agreement with CNNC Huayuan Titanium Dioxide Co. Ltd., the company will supply approximately 45% of the estimated total volume of ilmenite produced from the project's first stage.

The agreement follows similar offtake deals, including agreements to supply zircon products from the Thunderbird project.

In March, a bankable feasibility study pegged a posttax net present value of A$620.4 million at a discount rate of 8% and an internal rate of return of 20.6%, with a 42-year mine life.