Titanium Sands Limited (TSL) has raised $500,000 before costs through a placement to sophisticated and professional investors to advance its Mannar Island Heavy Mineral Project in Sri Lanka. The funds will be used to progress regulatory approvals, including completing the Environmental Impact Assessment (EIA) and obtaining an Industrial Mining Licence (IML), as well as for general working capital. The project has a Stage One Net Present Value (NPV) of $545 million, according to a scoping study released in May 2023.
The newly appointed President and government of Sri Lanka, in office since November 2024, have been supportive of developing Sri Lankan assets and have assisted TSL in progressing its mining licence application. The company’s EIA consultant, a local from Mannar who previously worked for 15 years at the Central Environment Authority (CEA) and was involved in the Adani Wind Farm EIA, is collaborating with a jointly appointed environmental consultant group to complete the required studies.
A formal stakeholder presentation for the project was completed in August 2024 at the CEA head office. The CEA and the Australian High Commissioner have visited Mannar to meet with local community and church groups to discuss the project. The CEA has also engaged with the District Co-ordinating Committee (DCC) in Mannar regarding the project and finalising a site visit. The authority has indicated that the Terms of Reference (TOR) for the EIA will be issued shortly.
The company has received firm commitments for 125,000,000 placement shares at $0.004 per share. The terms include one free attaching unlisted option for every two shares issued, exercisable at $0.023 and expiring two years from the date of issue. Lead manager CPS Capital, acting as corporate advisor, will receive a fee of 6% of funds raised. It will also receive 20,000,000 unlisted broker options exercisable at $0.023, expiring in two years, at an issue price of $0.00001 per option.
TSL will continue to provide updates as the EIA process advances and as it progresses towards securing its mining licence.
