Moody's: Bemax view to stable

Moody's Investors Service said it changed the outlook to stable from negative on Bemax Resources Ltd.'s Caa1 corporate family rating and senior unsecured bond rating.

The outlook revision reflects the ongoing support via capital injections from Bemax's owner, the National Titanium Dioxide Co. Ltd., Moody's said, along with the ongoing development of the Snapper mineral sands mine and the improved outlook for the mineral sands market.

The ratings continue to reflect the company's weak stand alone liquidity position and financial profile, continued execution risk with the commissioning of the Snapper mine and high product concentration, the agency said.

Balancing this is the company's good quality reserves with high mineral grades, improved industry dynamics for the mineral sands market and the strategic importance and ongoing demonstrated liquidity support from the company's parent, Moody's added.

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