Image Resources NL (ASX:IMA)
Image Resources NL (ASX:IMA) is a mineral sands focused mining company operating an open-cut mine and ore processing facility at its 100%-owned, high-grade, zircon-rich Boonanarring Project, located 80km north of Perth in the infrastructure rich North Perth Basin.
Boonanarring is one of the highest grade, zircon-rich mineral sands projects in Australia, with an initial mine-life of 5.5 years of Ore Reserves, and with significant expansion capability. Production commenced in December 2018 following a successful construction and commission period completed on-time and on-budget. The Company produces heavy mineral concentrate (HMC) which contains zircon, ilmenite and lesser quantities of rutile and leucoxene. HMC production was ramped-up to name-plate capacity in only the second month of operations in January 2019.
Image is forecast to produce an average of 240,000 tonnes of HMC per annum which is sold into China under life-of-mine off-take agreements at market prices. Revenue from mining is estimated to average approximately $120M per annum, with more than 80% of revenue from the zircon component in the HMC.
The Company completed it first full quarter as an active mining company in March 2019 with the achievement of profitability and performance exceeding expectations in almost all categories including HMC production at 167% of budget; HMC sales and revenue at 106% of budget; project operating costs at 2% of budget; and earnings before interest, taxes, depreciation and amortisation (EBITDA) of $9.3M at over 400% of budget.
Image Resources listed on the ASX in 2002.