Strandline Resources (ASX:STA) has completed the second shipment of Heavy Mineral Concentrate (HMC) produced from its wholly owned Coburn Mineral Sands Project in Western Australia.
The company says the shipment was loaded with about 8,600 wet metric tonnes of HMC product produced from the Wet Concentration Plant (WCP), comprising valuable minerals of zircon sand, titanium ores, and rare earth elements (REEs) at the Port of Geraldton.
Strandline also notes the value of the shipment is $8 million with sales proceeds expected to be received within the next week. The company adds it has also produced HMC volumes additional to this shipment and is being stockpiled for feed into a Mineral Separation Plant (MSP) and future sales.
It is reported the selling of this shipment is in accordance with the company’s accelerated cash flow and ramp-up plan, and provides a robust operational basis to transition into ore commissioning of the downstream MSP.
HMC product is believed to be progressively introduced into the MSP during February 2023 in conjunction with ramp-up production rates from the mine and WCp towards nameplate capacity.
Speaking on the second shipment, Strandline Resources Managing Director Luke Graham says: “This second shipment reflects the strong progress being made in the ramp up at Coburn. As well as generating important early revenue, the successful start to mining and HMC production lays a solid foundation for the start of the MSP plant.
“This second shipment reflects the strong progress being made in the ramp up at Coburn”
The transition to MSP ramp up and production of Coburn’s final product streams over the coming months will mark Standline’s arrival as a world-scale, long life producer of critical minerals, with some outstanding growth prospects, including the potential expansion opportunities at Coburn.
The combination of this growth outlook, the benefits of a tight, supply constrained mineral sands market and having 100% of Coburn’s initial production sold under binding offtake, mean Strandline is set to enjoy a highly successful 2023.”
In addition, operations undertaken within the last few months have seen Strandline mine its way into the deposit from surface with the mining face increasing as the Dozer Mining Units are positioned deeper in their respective pits, demonstrating improved production rates.
The company reports ore grade and mineral assemblage has reconciled well with Ore Reserve assumptions to date, as well as the higher slimes and oversize content measured in the shallower zones of the deposit.
With the second shipment now complete, Strandline announces improving plant and equipment availability and optimising product recoveries continues to remain a key priority for commissioning and operational teams. The company is also maintaining its focus on managing various risk factors associated with the development of the Coburn project, including inclement weather contractor performance, and technical commissioning.
Strandline Resources is an ASX-listed mining company focused on mineral exploration and development in Australia and Tanzania in order to develop and operate high-margin, expandable mining assets with market differentiation and global relevance.
The company’s flagship Coburn project is located about 240km north of the Port of Geraldton and represents a ‘world-scale’ mineral sands deposit containing a rich zircon-titanium HM assemblage along the eastern boundary of the Shark Bay World Heritage Property.
Other assets included in Strandline’s arsenal include the Fowlers Bay Nickel Project in South Australia, and the Bagamoyo, Fungoni, Tajiri, and Sudi Projects in Tanzania.
Images: Strandline Resources Ltd
