Perth, Mar 15, 2018 AEST (ABN Newswire) - Image Resources NL (ASX:IMA) (OTCMKTS:IMREF) ("Image" or "the Company") is pleased to announce its Equity Raising (see ASX release 11 March 2018) has closed fully subscribed. The AU$25m Equity Raising was launched on 11 March 2018 with Euroz Securities Limited, the Sole Lead Manager and Sole Bookrunner. Demand has come from new and existing investors.

In accordance with the Subscription Deed with Vestpro International Limited ("Vestpro") (see ASX release 11 March 2018), Vestpro will be subscribing for 131,936,921 Shares (AU$13,193,692.10) under the Equity Raising.

New shares under this placement will be issued using the Share Placement Facility approved by Shareholders at the general meeting held on 13 February 2018. Settlement is schedule for 23 March 2018 and allotment on 26 March 2018.

The closing of the Equity Raising is the final part of the total project funding required for the Boonanarring Project.

Mr Bob Besley, Chairman commented, "The Company remains encouraged by the strong support shown from existing and new shareholders and institutions and in particular Vestpro International. Completion of the equity raising paves the way for the completion of development of the Boonanarring project and the robustness of the project continues to strengthen as market prices for mineral sand commodities continue to rise."

On 8 March 2018 the Company announced it had entered into a Loan Note Subscription Agreement ("LNSA") with Pala Investments Limited and Castlelake IV, L.P. and CL V Investment Solutions LLC which are entities controlled by Castlelake L.P. to raise AU$50M (see Note below) from the issue of senior secured loan notes.

Boonanarring is fully permitted, requires project capital costs of only AU$52M, and has a construction lead time of an estimated six months. In addition, the Company already owns the processing equipment required to make an HMC product, and owns the land covering the first two years of ore reserves as well as the area required for the construction of the processing plant and related facilities. Importantly, the Company has also secured a binding off-take agreement for 100% of HMC production for the life of the mine.

Construction of the Boonanarring Project will commence immediately. Initial mining pre-strip and construction of the wet concentrator plant and associated production facilities are expected to be completed near the end of the 3rd Qtr. 2018, followed by commissioning and first production during the 4th Qtr. 2018.

This announcement is intended to end the suspension of trading of the Company's securities.

Note: US$ denominated Loan Notes equivalent to AU$50M at signing of the LNSA.

About Image Resources NL

Image Resources Ltd ASX:IMAImage Resources NL (ASX:IMA) is a mineral sands focused mining company operating an open-cut mine and ore processing facility at its 100%-owned, high-grade, zircon-rich Boonanarring Project, located 80km north of Perth in the infrastructure rich North Perth Basin.

Boonanarring is arguably one of the highest grade, zircon-rich mineral sands projects in Australia. Construction and project commissioning were completed on-time and on-budget in 2018. Production commenced in December 2018 and HMC production ramped-up to exceed name-plate capacity in only the second month of operation. The Company achieved profitability in Q1 2019 and was cashflow positive in Q2 2019 and is now at steady state production.



Patrick Mutz
Managing Director
T: +61-8-9485-2410

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