4 Sheffield Resources Limited Annual Report 2023 Kimberley Mineral Sands (KMS) During the reporting period, through its 50% interest in Kimberley Mineral Sands Pty Ltd (KMS), Sheffield Resources Limited (Sheffield, the Company or the Group) advanced construction of the flagship Thunderbird Mineral Sands Project (Thunderbird) in the Kimberley region of Western Australia following a Final Investment Decision in October 2022. Kimberley Mineral Sands Pty Ltd is a 50/50 joint venture between Sheffield and YGH Australia Investment Pty Ltd (Yansteel). Yansteel is a wholly-owned subsidiary of Tangshan Yanshan Iron & Steel Co. Ltd, a privately owned steel manufacturer headquartered in Hebei, China producing approximately 10mt per annum of steel products. The following key achievements took place during the reporting period, supporting the future operation of the Thunderbird Mineral Sands Project: – Final Investment Decision (FID) secured for the Thunderbird Mineral Sands Project in the Kimberley region of Western Australia. – FID followed financial close of a A$160m loan facility from the Northern Australia Infrastructure Facility (NAIF) and US$110m production linked facility with Orion Resource Partners (Orion). – Award of major commercial agreements, including a $179m fixed price engineering, procurement and construction (EPC) contract with GR Engineering Services Limited and the award of gas supply, power generation, mining services and port lease agreements. – Construction of Thunderbird advanced rapidly and in line with schedule throughout the reporting period, with commissioning activities having commenced in July 2023 and first production expected during the December 2023 quarter. Review of Operations Figure 1: Construction in progress at the Thunderbird Mineral Sands Project
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