BUSINESS
Australian Zircon NL is a publicly company listed on the Australian Stock Exchange Limited.
ASX Code:AZC
The Company's prime asset is the 100 percent owned and managed Mindarie Project, principally a zircon mine which will also produce ilmenite, rutile and leucoxene. The Company's granted tenements total 15,979 km2 with approximately 60% of Project revenue derived from zircon sales. The Project is located 148km east of Adelaide, South Australia. Risk equity capital invested in the project to date totals approximately $19 million.
In January 2004 the Company entered into a Joint Venture Agreement with Austpac Resources NL in respect of the WIM150 deposit, located in the western Victorian Murray Basin. Australian Zircon can earn an 80% participating interest by completing a Bankable Feasibility Study on the deposit.
Directors and management own 33 percent of the issued capital and financial institution (managing superannuation, life assurance, insurance and discretionary accounts) own 8 percent. The Balance is held by 1,920 individual shareholders.
The Board of the Company comprises four non-executive Directors. Board members exhibit a range of salient professional qualifications and importantly, substantial experience in project development and implementation. Two directors, namely the Chairman, the largest shareholder are resident in South Australia.
Contracts for the sale of 100% of the zircon, ilmenite, rutile and leucoxene are in place with Australian Zircon's exclusive marketing partner, DCM DECO metal GmbH (). DCM is an international marketing and trading company, head-quartered in Austria. In addition to the marketing Agreement with AZ, DCM holds a significant investment in the Company.
HISTORY
The Company began life as Roehampton Resources NL, a listed gold explorer which was incorporated in Perth, Western Australia in March 1994. In 1996 the Company changed its name to Resource Development Corporation NL.
In June 1998 Resource Development Corporation NL entered into a joint venture with Steiner Holdings Pty Ltd (controlled by David Clarke) to earn an interest in that company's mineral sands exploration leases in the South Australian portion of the Murray Basin. It changed its name to Murray Basin Minerals NL in late 1998 to reflect a change in strategic direction.
In October 2000 Steiner Holdings Pty Ltd was acquired subject to shareholder approval at a meeting called for later in 2000. The name then changed to Southern Titanium NL in late 2000. The Company most recently changed its name to Australian Zircon NL on 30 November 2004 to better reflect the Company's primary product.
Since 1998 the Company has successfully applied for and acquired several leases in the South Australian portion of the Murray Basin to complement the Steiner leases as well as leases in Victoria and New South Wales.
In January 2001 the company sold its remaining gold exploration interests to Quaestus Limited. The consideration of 5.4m shares in Quaestus was distributed gratis to certain of the Company's shareholders. The shares were issued at a ratio of 1:10 to the Company's shareholders with at least 20,000 shares (excluding the top 20 shareholders who did not participate), of 2:3 to shareholders with 15,000-19,999 shares and of 1:1 for shareholders with less than 15,000 shares.
Today the Company's prime asset is the 100 percent owned and managed Mindarie Zircon Project and associated mineral tenements. Australian Zircon also holds an 80% participating interest in the WIM150 Joint Venture with Austpac Resources NL.
