Mineral Sands explorer Sheffield Resources advise that it has resolved to raise up to approximately USD 10 million through a placement of up to 33.35 million shares at an issue price of 30 cents per share to institutional and sophisticated investors (“the Placement”).

Hartleys Limited, Sheffield’s corporate advisor is Broker to the Offer.

The funds raised pursuant to the Placement will be used to fund the following:

1. Drilling and scoping work at the Dampier Zircon Project
2. Drilling and feasibility work at the Eneabba Project and for
3. General working capital.

Mr Bruce McQuitty MD of Sheffield’s commented that “Sheffield is very pleased with the overwhelming support it has received from institutional and sophisticated investors in the Placement. The strong demand ensures Sheffield is well funded to advance the Company’s Eneabba Project, but more excitingly undertake drilling at our potentially world class Dampier Project.”

Mr McQuitty said that “Until recently Sheffield has very much flown under the radar, however, with the rapid advancement of the Eneabba Project, the recent granting of tenements in our Dampier Zircon Project, this USD 10 million in funding and our planned active drill programs we expect this to change in 2012.”

The Placement will be completed in two tranches with up to 8.8 million shares being issued in tranche one pursuant to the Company’s 15% capacity under ASX Listing Rule 7.1 and the balance of up to 24.55 million shares being issued in tranche two, subject to shareholder approval at a General Meeting of shareholders currently scheduled for on or around Thursday March 15th 2012.