BULKS

Image Resources now producing mineral sands

An auspicious day for Image Resources has played out with the first production of heavy mineral concentrate at its zircon-rich Boonanarring project near Perth in Western Australia.

Michael Quinn
Production underway at Boonanarring in Western Australia

Production underway at Boonanarring in Western Australia

Wet commissioning at the project began late last month and is set to continue for the next 2-4 weeks, with the company expecting first revenue in January and positive project cashflow by the end of the March quarter.

Image has binding offtake agreements for all of its production.

While formal guidance of production for the year ahead are expected next month, Boonanarring was built on the expectation of annual production of 220,000t per annum of HMC (including circa-60,000tpa of zircon), for 5.5 years - "with ability to add 3-4 years of additional ore reserves".

Boonanarring's net present value has previously been estimated at $235 million, with an internal rate of return of 125% and a 13-month payback.

The project's capital was estimated to be $52 million, with a second-hand plant being utilised.

Shares in Image (ASX: IMA) were unchanged at A13c in morning trade, capitalising the company at $124 million.

 

A growing series of reports, each focused on a key discussion point for the farming sector, brought to you by the Kondinin team.

A growing series of reports, each focused on a key discussion point for the farming sector, brought to you by the Kondinin team.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.

editions

Mining Journal Intelligence Mining Equities Report 2023

Access an exclusive, inside look on the quarterly mining IPOs and secondary raisings data and mining equities performance tables with an annual Stock Exchange Comparisons supplement.

editions

Mining Journal Intelligence World Risk Report 2023 (feat. MineHutte ratings)

A detailed analysis of mining investment risks across 121 jurisdictions globally, built on 11 ‘hard risk’ metrics and an industrywide survey.

editions

Mining Journal Intelligence Global Leadership Report 2023: Social licence

Gain insights into social licence trends and best practices from interviews with 20+ top mining company executives and an industrywide survey.