Second shipment of HMC from the Coburn Mineral Sands Project completed

Strandline Resources Limited announced the completion of the second Heavy Mineral Concentrate (HMC) shipment from the Coburn mineral sands project.

The Port of Geraldton received a shipment of roughly 8,600 metric tonnes (wet) of HMC product comprising precious minerals such as zircon sand, titanium ores, and rare earth monazite. The shipment is valued at A$8 million CIF, with sales revenues expected within seven days. In addition to the shipment, Strandline has produced HMC amounts that are being stockpiled for feed into the Mineral Separation Plant (MSP) and future sales.

According to Strandline, the second shipment of HMC from the Wet Concentration Plant (WCP) is being sold in accordance with its accelerated cashflow and ramp-up strategy and offers a stable operational foundation to move into ore commissioning of the downstream MSP.

Strandline intends to gradually put HMC product into the MSP in February 2023 while increasing mine and WCP production rates to nameplate capacity.

The MSP is designed to efficiently separate valuable minerals into premium zircon, ilmenite, rutile, and zircon concentration streams (containing rare earth monazite). These product lines are all subject to binding offtake agreements and will be marketed to major worldwide customers in Europe, the United States, and China.

Strandline stated that it has efficiently mined its way into the deposit from the surface over the last few months, with the mining face increasing as the Dozer Mining Units are positioned deeper in their individual pits, resulting in progressively improved production rates. To date, ore grade and mineral assemblage have reconciled well with Ore Reserve predictions, with greater slimes and oversize content measured in the deposit’s shallower zones.

For commissioning and operating teams, increasing plant and equipment availability and optimising product recoveries continue to be top priorities from a production standpoint, according to Strandline.

Strandline Managing Director Luke Graham said the second cargo illustrates the rapid progress being made at Coburn. Graham stated the successful start of mining and HMC production not only generates significant early money but also sets a solid platform for the commencement of the MSP plant.

“The transition to MSP ramp up and production of Coburn’s final product streams over the coming months will mark Strandline’s arrival as a world-scale, long life producer of critical minerals, with some outstanding growth prospects, including the potential expansion opportunities at Coburn,” Graham added.

He said, “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”.

With Coburn construction completed and operations ramping up, Strandlien said it remains focused on managing the different risk concerns connected with the project’s development. HSEC hazards, inclement weather, contractor performance, technical commissioning and ramp-up risks, commodity price and foreign currency rate variations, cost inflation, and contractual claims and disputes are all part of this.