early cash flow

Quarterly update read really well, mining of the 200,000 bulk sample started Monday

EVENTS SUBSEQUENT TO 31 MARCH 2013
A $2m credit facility has been established with the first drawdown to be made on 1 May 2013. This facility will be sufficient to fund the initial mining of the DSO bulk sample. The sale of the bulk sample is expected to generate revenue for the Company by the end of June 2013. The credit facility plus the revenue from the sale of the bulk sample will be sufficient to fund the ongoing operations of the Company.
Equipment has been mobilized to the DSO site with clearing and pre-stripping to commence on 2 May 2013. The trading terms in the agreement with the DSO mining contractor will enable Sherwin to commence mining the bulk sample and deliver it to Darwin Port with minimal upfront cash outlay.
The off-take agreement for the bulk sample is expected to be finalized in the first week of May 2013. It is expected the first shipment in accordance with the off-take agreement will be delivered to the Port of Darwin in mid-June 2013.
PROJECT FACILITATION AGREEMENT
The agreement outlines how the NT Government and Sherwin Iron will work together to address critical matters such as maximising local industry and employment opportunities, freight logistics and transport, and environmental protection. The agreement is a major factor in Sherwin being able to make its first export shipment of iron ore (albeit a bulk sample) with minimal infrastructure costs by the end of 2013.