Last checked at 22 Oct 2014 07:00
22 October 2014
Ironveld plc ("Ironveld" or the "Company")
Submission of Critical Infrastructure Programme application
to the Department of Trade and Industry
Ironveld plc, the High Purity Iron, Vanadium and Titanium project located on the Northern Limb of the Bushveld Complex in Limpopo Province, South Africa is pleased to announce that it has submitted its Critical Infrastructure Programme ("CIP") application for its 15MW smelter to the Republic of South Africa's Department of Trade and Industry (the "DTI").
CIP application
The CIP is an investment incentive of the South African government to stimulate investment growth in line with the National Industrial Policy Framework (NIPF) and its Industrial Policy Action Plan (IPAP). The incentive programme aims to enhance investment by supporting critical infrastructure, thus lowering the business costs of investment. The CIP is a cost-sharing grant of a maximum of 30% of the total infrastructure development costs capped at R30 million per project based on the achieved score in the economic benefit criteria. If successful, Ironveld could receive a grant of approximately R15million (£0.85million).
The Company was assisted with the preparation and submission of the CIP application by Deloitte & Touche and a decision by the DTI is expected before the end of November.
Air Emission License (AEL) application
In addition, Prescali, our environmental consultants, have submitted Ironveld's AEL application in terms of section 21 of the National Environmental Management - Air Quality Act 29 of 2004. This is the licence relating to air quality and emissions for the 15MW DC smelter as part of the Integrated Environmental Management application process.
Peter Cox, CEO of Ironveld commented: "Ironveld continues to make good progress towards delivering the 15MW project. If successful, the CIP grant application would further enhance project cashflows following the approval of the 12I Tax Incentive, which affirmed the State's commitment to our project.
"The strong demand for our High Purity Iron products as well as for our Vanadium and Titanium products from end users, demonstrates the importance of these commodities in a wide range of industries from the chemical to energy storage industries and differentiates Ironveld from Iron Ore projects. We continue to work towards delivering a robust multi commodity project in late 2015."
Ends
For further information, please contact:
Ironveld plc Peter Cox, Chief Executive | c/o Camarco 020 3757 4980 |
Shore Capital and Corporate Limited Stephane Auton / Toby Gibbs (corporate finance) Jerry Keen (corporate broking) | 020 7408 4090 |
Camarco Billy Clegg/ Georgia Mann | 020 3757 4980 |
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Notes to Editors:
Ironveld (IRON.LN) is a High Purity Iron, Vanadium and Titanium project located on the Northern Limb of the Bushveld Complex in Limpopo Province South Africa. Ironveld expects to mine its own VTM ore as feedstock for a 15MW smelter which will produce speciality iron products including high purity iron powder as well as Vanadium and titanium products
The Definitive Feasibility Study published in April 2014 confirms the project's viability to deliver an exceptionally high grade iron product (99.5% Fe) called High Purity Iron which commands a premium in the market place. Vanadium and Titanium slag containing commercial grades of vanadium and titanium will also be produced and sold.
Ironveld's Board includes; Giles Clarke as Chairman, Peter Cox, CEO and Nick Harrison as a Non-Executive Director.
Ironveld is an AIM listed Company. For further information on Ironveld please refer to www.ironveld.com.