Celebrates New Stage Of Mining At Trælen
Mineral Commodities Ltd (ASX: MRC) has unveiled promising results for the half-year ended June 30, 2021.
• New era with the mining and processing of ore from the Northern Beaches and Inland Strand deposits, part of the Section 102 Mining Right areas acquired in June 2020.
• Improved total material mined production rate of 2.42 million tonnes up 97% (1.23MT-HY20), ore tonnes mined up 21% to 1.49 million tonnes (1.23MT- HY20) and grade up 109% to 15.11% Total Heavy Minerals (“THM”) (7.22% THM-HY20) during the half-year.
• New stage of mining at Trælen graphite mine with the commencement of down-dip development for the first time in the mine’s operational history. The down-dip development provides new access to graphite resources to support continued processing operations at Skaland and plans for expansion.
• Financial performance impacted by the transition back to a 24/7 operation and introduction of higher cost mining at Inland Strand (overburden removal in comparison to standard beach mining), increase in shipping costs and deferred shipping as a result of global supply chain issues, and appreciation of the Rand against the US Dollar at Tormin and low production and sales at Skaland due to plant shutdowns and operational downtime.
• Total revenue of US$29.3 million up 62% (US$18.1 million HY20)
• EBITDA of US$5.7 million down 39% (US$9.4 million HY20)
• NPAT from continuing operations of US$ 0.7 million down 88% (US$5.6 million HY20)
• Cash balance US$4.5 million
“We continue to build capacity at Tormin through a return to 24/7 operations and expect that ongoing optimisation and plant upgrades will continue to improve processing outcomes,” Acting Chief Executive Officer, Russell Tipper, said.
“We expect that our ongoing resource drilling programmes and study work will form the basis for a new Mining Right application to further expand access to the resources contained in the Inland Strand.
“At Skaland, we have accelerated the down-dip development at the Trælen Mine, which will now enable years of access to high-grade ore as we prepare for upgrades to the floatation circuit in anticipation of improved plant performance in the second half of 2021”.
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