Mineral Resources Limited (ASX: MIN) today provided its quarterly exploration and mining activities report for the period ending 30 September 2020.
HIGHLIGHTS:
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Safety performance continued to improve, with a 12-month rolling Lost Time Injury Frequency Rate (LTIFR) of zero and a Total Reportable Injury Frequency Rate (TRIFR) of 3.19 at September 2020, an improvement of 3% over the quarter.
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COVID-19 Polymerase Chain Reaction (PCR) screening testing continued with 42,055 tests completed during the quarter and more than 75,000 completed this year through MRL’s 10 screening facilities in metropolitan Perth and regional areas across Western Australia (WA).
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Mining Services volumes increased 24% versus Q120 and 7% versus Q420, in line with expectations. Guidance remains for FY21 volumes to increase 20 to 25%.
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Total iron ore production remained steady at 4.2 million (m) wet metric tonnes (wmt) for the quarter.
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Koolyanobbing operations shipped 2.2m wmt iron ore for the quarter with production expected to ramp up to meet full year guidance.
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Iron Valley shipped 1.3m wmt iron ore for the quarter, in line with the mine plan and guidance.
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Average iron ore revenue received of US$97 per dry metric tonne (dmt) during the quarter, 15% higher than the previous quarter.
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Mt Marion Lithium Project achieved record production of 133,000 dmt and record shipments of 118,000 dmt of spodumene concentrate during the quarter.
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During the quarter, MRL agreed to purchase the Wonmunna Iron Ore Project (Wonmunna) from Australian Aboriginal Mining Corporation Limited (AAMC). The purchase was for an immaterial cash consideration and a royalty which MRL will pay AAMC in respect of the first 40m dmt extracted and removed from the area. Wonmunna has a forecast capital cost of approximately $126m (including the acquisition cost) with an initial design of 5.0m wmt per annum production. Exports of 1.0m to 2.0m wmt are expected in H2 FY21. Operating costs are expected to be similar to MRL’s nearby Iron Valley operation.
COVID-19 Update on Operations
MRL continues to monitor developments around the world along with guidelines introduced by the Federal and State Governments and health authorities to minimise the risks that COVID-19 presents to our community and the resource industry in WA. MRL continues to screen all workers and visitors to operational sites, with the aim of ensuring that anyone entering our sites is free of the virus.
MRL has conducted more than 75,000 COVID-19 PCR screening tests for resource industry workers through MRL’s 10 screening facilities in metropolitan Perth and regional areas across WA.
This initiative complements other actions taken on our sites. Further details of our actions are available at www.mineralresources.com.au/home-page/covid19-response/.
