ASX Release 23 January 2014 Fourth Quarter 2013 Operations Review MDL owns 50% of TiZir Limited which owns the Grande C?te Mineral Sands Project in Senegal, West Africa and an ilmenite upgrading facility in Tyssedal, Norway. Overview Grande C?te? Construction is now essentially FINISHED - a huge effort over two and a quarter years involving approximately 11 million man hours ? Flooding of the start-up pond containing the dredge and wet concentrator plant (WCP) will occur in the next few days, to be followed by water and electrical commissioning before the mining of sand begins ? Commissioning of the remainder of the project is very much underway or completed: ? approximately 600 tonnes of heavy mineral concentrate (sourced using a pilot plant) will be fed through the wet mill at the mineral separation plant (MSP) later this week, followed by the dry mill in a few weeks' time ? the power station is operational ? the rail system to the port is operational ? the conveyor and ship loading system at the port has been fully commissioned with sand Tyssedal? Titanium slag production for 2013 was 190.3kt, 5% higher than 2012 ? Full year titanium slag sales were 197.1kt , 26% ahead of 2012 levels, however, average pricing for 2013 was 33% lower than 2012 levels, leading to 16% lower revenue ? Revenue from high purity pig iron was 10% lower for 2013 compared to 2012, reflecting 10% higher sales volumes offset by 20% lower pricing Corporate? On 1 November 2013, MDL increased its interest in World Titanium Resources Limited ("WTR") from 15.0% to 19.1% through the injection of A$2.3 million by way of a placement. WTR owns the Toliara mineral sands project in Madagascar ? On 13 December 2013, MDL announced the completion of a A$40 million equity raising through a placement, mainly to existing institutional shareholders of the company. It is expected the proceeds will be contributed to TiZir Limited to assist with Grande C?te's construction completion and, more particularly, operational working capital requirements. The placement comprised two tranches, the second of which (amounting to A$15 million) is subject to shareholder approval at a general meeting of shareholders on 28 January 2014 ? On 15 January 2014, MDL announced that it had disposed of its shareholding in Teranga Gold Corporation ("TGZ") for proceeds of approximately US$20 million ? MDL's pro forma cash position at 31 December 2013 was US$65.3 million - comprising cash on hand (US$32..0 million), the net proceeds from the disposal of the Teranga shareholding in January 2014 (US$20.0 million), and the second tranche of the equity placement to be voted upon by shareholders on 28 January 2014 (A$15.0 million / US$13.3 million). In addition, US$5.0 million was injected into TiZir just prior to 31 December 2013..  To read today's full announcement click here.
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