STRANDLINE RESOURCES LIMITED Final construction verification, water commissioning and sequence testing is now underway. Successful completion of this phase of commissioning will be followed by the introduction of the first ore and ramp up.
Pre-production mining of the open pits (pre-stripping) is also finished, and all dozer mining units and key equipment fleet are ready for ore mining.
While commissioning of the WCP continues, construction teams have transitioned to finalise the downstream
Mineral Separation Plant (MSP) and remaining support infrastructure, with overall project construction now ~95% complete.
Final drawdown of Coburn's senior finance facilities has also been successfully completed in accordance with the development plan.
Strandline expects to sell several shipments of Heavy Mineral Concentrate produced from the WCP while construction of the MSP is being completed.
Once the MSP is ready, HMC will then be transported to the MSP for further processing to produce Coburn's premium-quality final products, including chloride ilmenite, rutile, premium zircon and zircon concentrate.
Strandline Managing Director
'This will be followed by our first shipment of HMC, which is expected to be worth
'At the same time, the construction emphasis is on completion of the MSP, which will add further significant value to our production'.
ABOUT COBURN MINERAL SANDS PROJECT
In
The Coburn project is set to capitalise on its robust margins, the buoyant minerals sands commodity pricing outlook, its tier-1 location, and the growing demand for critical minerals.
The Coburn mine life currently sees mining continue until 2045 (based on mining the initial 22.5-year JORC 2012 compliant Ore Reserves), with the potential to extend to 2060 (total 37.5 years mine life) by converting Mineral Resources which exist immediately north and along strike of existing Ore Reserves.
The FID was supported by the updated Definitive Feasibility Study (DFS), released in mid-2020, which confirmed robust economics for the project over an initial 22.5-year life, including:
Pre-tax NPV of
High margin revenue-to-operating cost (C1) ratio of 2.4
Projected revenue for the initial 22.5 years of Ore Reserves of
Average annual EBITDA of
Fully funded to production and cash flow by a combination of 15-year
Binding offtakes secured for 100% of Coburn's initial production with a diverse group of top-tier customers
ABOUT COBURN MINERAL SANDS PROJECT
In
The Coburn project is set to capitalise on its robust margins, the buoyant minerals sands commodity pricing outlook, its tier-1 location, and the growing demand for critical minerals.
The Coburn mine life currently sees mining continue until 2045 (based on mining the initial 22.5-year JORC 2012 compliant Ore Reserves), with the potential to extend to 2060 (total 37.5 years mine life) by converting Mineral Resources which exist immediately north and along strike of existing Ore Reserves.
The FID was supported by the updated Definitive Feasibility Study (DFS), released in mid-2020, which confirmed robust economics for the project over an initial 22.5-year life, including:
Pre-tax NPV of
High margin revenue-to-operating cost (C1) ratio of 2.4
Projected revenue for the initial 22.5 years of Ore Reserves of
Average annual EBITDA of
Fully funded to production and cash flow by a combination of 15-year
Binding offtakes secured for 100% of Coburn's initial production with a diverse group of top-tier customers
Strandline is committed to building a highly efficient and sustainable mining operation. The project provides significant public benefit including job creation, high Australian industry participation in the supply chain, new local business and indigenous engagement opportunities, as well as capital inflows for
Refer to the ASX Announcement dated
Contact:
CEO and Managing Director
T: +61 8 9226 3130
E: enquiries@strandline.com.au
FORWARD LOOKING STATEMENTS
This report contains certain forward looking statements. Forward looking statements are only predictions and are subject to risks, uncertainties and assumptions which are outside of the control of Strandline. These risks, uncertainties and assumptions include commodity prices, currency fluctuations, economic and financial market conditions, environmental risks and legislative, fiscal or regulatory developments, political risks, project delay, approvals and cost estimates. Actual values, results or events may be materially different to those contained in this announcement. Given these uncertainties, readers are cautioned not to place reliance on forward looking statements. Any forward looking statements in this announcement reflect the views of Strandline only at the date of this announcement. Subject to any continuing obligations under applicable laws and ASX Listing Rules, Strandline does not undertake any obligation to update or revise any information or any of the forward-looking statements in this announcement to reflect changes in events, conditions or circumstances on which any forward looking statements is based.
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