Mineral Resources Limited (ASX: MIN) is pleased to present its Quarterly Exploration and Mining Activities Report for the period to 30 June 2021.
Q4 KEY POINTS
- Safety performance continued to improve in FY21 with the Total Reportable Injury Frequency Rate of 2.15 at June 2021. During the quarter, there was one lost time injury and the rolling 12-month Lost Time Injury Frequency Rate remained low at 0.11.
- Unplanned border closures and lockdowns implemented following COVID-19 outbreaks around the country continued to impact MRL operations, primarily through the forced curtailment of staff movements. This continued to impact our ability to transport iron ore from our operations as the shortage of road train drivers constrained material movements. MRL continued COVID-19 testing checks, using MRL’s gold-standard PCR testing equipment, as part of the fit-forwork regime for all FIFO workers.
- Mining Services production volumes increased 20% in FY21.
- Iron ore shipments totalled a record 5.2 wmt during the quarter, 27% higher than Q3 FY21. Shipments for FY21 increased 23% to a record 17.3m wmt, slightly below the revised full-year guidance of 17.4m wmt to 18.0m wmt range provided in April as the final three planned shipments from the Kwinana port were delayed, due to port congestion.
- Iron ore production for the quarter was 5.2 wmt, up 6% on the prior quarter. FY21 production was a record 19.5m wmt, 38% higher than FY20. The Company ended the financial year with 2.0 mt of crushed iron ore stockpiles at site.
- The average realised iron ore price for the quarter was US$178.0 per dmt, 23% higher than the previous quarter.
- Mt Marion produced 114,024 dmt spodumene during the quarter, 5% higher than Q3 FY21. FY21 production of 484,984 dmt was 34% higher than FY20 and above guidance of 450,000 to 475,000 dmt. Shipments during the quarter were 21% higher than Q3 FY21. Shipments of spodumene concentrate during FY21 of 484,942 dmt were 23% higher than FY20.
- During the quarter MRL and Brockman Mining Limited (ASX: BCK) (Brockman) amended their Joint Venture Agreement to include the development of the Marillana and Ophthalmia projects as part of the Company’s proposed South West Creek Hub.
- MRL subsidiary, Onslow Steel Pty Ltd purchased a 15% interest in Aquila Resources Pty Ltd (Aquila) from Aurizon Operations Limited. Aquila’s main asset is a 50% stake in the undeveloped West Pilbara Iron Ore Project in Western Australia.
- The Company secured a drilling rig for the conventional gas exploration well Lockyer Deep 1, situated in the onshore Perth Basin. The Lockyer Deep Prospect is located on exploration permit EP368, in the highly prospective northern section of the Perth Basin which is host to several significant recent conventional gas discoveries. Drilling commenced this month.
- Construction by Albemarle Corporation (NYSE: ALB) (Albemarle) of the 50ktpa Kemerton Lithium Hydroxide Plant continued. First production of battery grade hydroxide is expected by the end of 2021.
