Last checked at 6 Nov 2015 08:54
6 November 2015
Ferrum Crescent Limited
("Ferrum Crescent", the "Company" or the "Group")(ASX: FCR, AIM: FCR, JSE: FCR)
Response to ASX Letter re Appendix 5B
Ferrum Crescent, the ASX, AIM and JSE quoted iron ore developer announces that it has today responded to a routine letter from ASX Compliance Pty Ltd ("ASX Compliance") (the "ASX Letter"), further to the Company's release on 30 October 2015 of its Quarterly Activities and Cashflow Report and accompanying Appendix 5B for the period ended 30 September 2015 (together, the "Quarterly Report").
In summary, ASX Compliance raised certain queries and requested certain confirmations in light of the information contained in the Quarterly Report. In response to the ASX Letter, the Company stated the following:
"As announced to the market on 14 October 2015, the Ferrum Crescent group entered into a legally binding farm-in and joint venture agreement (the "Farm-in Agreement") with Business Venture Investments No. 1709 (Proprietary) Limited ("BVI") in South Africa to form a joint venture for the completion of the bankable feasibility study ("BFS") at the group's Moonlight Iron Project located in Limpopo Province, northern South Africa. The effect of entering into the Farm-In Agreement is that BVI will be responsible for the operational costs and some associated administrative costs in respect of the BFS activities. Accordingly, the Company believes that it will have access to sufficient cash to fund its near term operational activities. In addition, whilst the Company expects to continue to incur negative operating cash flows, consistent with statements set out in its annual report and audited consolidated financial statements released to the market on 30 September 2015, the Company currently expects to raise additional working capital in the first half of calendar year 2016."
The Company also confirmed that it is in compliance with all ASX listing rules, including listing rule 3.1, and that it meets the requirements of listing rule 12.2 (further details of which are set out in the notes to editors below).
To view the full ASX Letter and Ferrum Crescent's response, please click on the following link:
http://www.ferrumcrescent.com/IRM/Company/ShowPage.aspx/PDFs/1785-10000000/ResponsetoASXAppendix5BQuery
For further information on the Company, please visit www.ferrumcrescent.com.
Australia enquiries: | UK enquiries: |
Ferrum Crescent Limited Tom Revy T: +61 8 9474 2995 Managing Director
| Ferrum Crescent Limited Laurence Read (UK representative) T: +44 7557672432 Strand Hanson Limited (Nominated Adviser) Rory Murphy/Matthew Chandler T: +44 20 7409 3494 Beaufort Securities Limited (Broker) Elliot Hance +44 20 7382 8416
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South Africa enquiries: | Bravura Capital (Pty) Ltd (JSE Sponsor) Doné HattinghT (direct): +27 11 459 5037
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Notes to Editors:
ASX listing rule 3.1 sets out the obligation for listed companies to keep the market fully informed of price sensitive information, subject to certain limited exceptions (relating to incomplete and confidential transactions).
ASX listing rule 12.2 provides that a listed company must satisfy that its financial condition is such that it should remain quoted.