MZI Resources' (ASX:MZI) shareholder Stirling Resources has sold its entire shareholding of 581.8 million shares, or 20.9% of MZI shares, to a mix of institutional funds, high net worth investors and the company's management and staff.
Stirling is a wholly-owned subsidiary of Austrian metal trading group DCM DECOmetal GmbH, which is liquidating its Australian assets.
The significant change of shareholders comes as the company moves closer towards securing financing to commence development of its Keysbrook Mineral Sands Project.
The Keysbrook Project, located approximately 70 kilometres south of Perth, is characterised by its high leucoxene content, and once in operation will be one of the world's largest producers of the premium Leucoxene 88 product.
It will produce an average 91,000 tonnes per annum of mineral sands products from 110,000 tonnes of dry heavy mineral concentrate.
This will be trucked about 120 kilometres to Doral's mineral separation plant, which is just 10 kilometres from the Bunbury Port, for toll treatment.
Offtake agreements are already in place for 50% of the forecast annual revenue from Keysbrook and approximately 60% of forecast annual production.
The sale should remove a significant overhang of stock, which is a positive moving forward.
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