Mineral Resources (ASX: MIN) has provided its quarterly activities report for the three months to December 2019 to the market.
HIGHLIGHTS
-
On 1 November 2019, Mineral Resources completed the sale of a 60% interest in the Wodgina Lithium Project to Albemarle Corporation (NYSE: ALB, Albemarle). MRL received as consideration US$820 million cash and a 40% interest in the first two 25,000 dry tonne per annum lithium hydroxide conversion units currently being built by Albemarle at Kemerton, Western Australia. The unincorporated MARBL Lithium Joint Venture (MARBL JV) has been established, with MRL and Albemarle holding a 40% interest and 60% interest respectively.
-
Also on 1 November 2019, MARBL JV placed the Wodgina Lithium Project on care and maintenance. This decision was made in recognition of challenging global lithium market conditions and to preserve the value of the world-class Wodgina spodumene ore body. MARBL JV will regularly review market conditions with a view to resuming spodumene concentrate production as and when required; driven by market demand.
-
Mt Marion Lithium Project shipped 99,000 wet metric tonnes (wmt) of spodumene concentrate and production was 8% higher than the previous quarter at 124,000 wmt.
-
Iron ore shipments totalled 3.3 million wmt in Q2 FY20, in line with the previous quarter, and up 40% on the prior corresponding period in FY19.
-
Mining operations at Koolyanobbing continued at the targeted rate of 8 million tonnes per annum (Mtpa) in Q2 FY20. Additional rail capacity will be brought on line in Q3 FY20 with plans to further increase production to 11.0 Mtpa.
-
On 20 November 2019, MRL announced its Yilgarn Iron Ore Strategy, with the reporting of Mineral Resources totalling 108.6 million tonnes (Mt) (dry) at 56.8% Fe, located within a 120 kilometre radius of MRL’s existing Koolyanobbing train loading and rolling stock infrastructure hub.
-
MRL announced on 20 December 20194 that it had acquired 804,000,000 shares in its Perth Basin exploration permit partner Norwest Energy NL (ASX: NWE, Norwest) following an on-market share purchase, taking its shareholding to 19.9%.
