Base Resources Limited - Informe Trimestral de Actividades - Diciembre 2023
Base Resources Limited - Informe Trimestral de Actividades - Diciembre 2023
PR Newswire
LONDRES, Reino Unido, 30 de enero
AIM y comunicado de prensa
30 de enero de 2023
Recursos básicos limitados
Informe de actividades trimestrales - Diciembre 2023
Productor de arenas minerales africanas, Recursos básicos limitados (ASX Y OBJETIVO: BSE) (Recursos básicos o de Empresa) se complace en proporcionar una actualización operativa, de desarrollo y corporativa para el trimestre finalizado 31 de diciembre 2023.
Lista de verificación
Operaciones de Kwale
- Prices for all products softened due to ongoing economic uncertainties and sluggish demand across key markets.
- As announced in October, on completion of evaluation of the two remaining near mine prospective areas, being the Kwale North Dune Mineral Resource not currently in the mine plan and Kwale East exploration area, it has been concluded that both lack sufficient grade or scale to support an extension of mining operations beyond Diciembre 2024 when the current mine plan is expected to end.
Proyecto Toliara
- Madagascar’s presidential elections in November saw Andry Rajoelina re-elected for a second term, with the incumbent Minister of Mines and Strategic Resources being re-appointed by President Rajoelina.
- Engagement with the Government on Toliara Project fiscal terms and lifting of the project’s on-ground suspension has been reinitiated, with the Government indicating that finalising terms and launching the project is a priority.
- Toliara Project Monazite PFS completed, significantly enhancing the overall forecast financial returns from the Toliara Project. For modest additional estimated capital expenditure of US$71 million, the Monazite PFS outcomes include an incremental post-tax/pre-debt (real) NPV10 of US $ 1.0 billones and IRR of 79%.
Desempeño operacional
Las dunas Kwale Sur y Norte continuaron explotándose simultáneamente durante el trimestre, con dos unidades mineras hidráulicas operando en cada área. Mined tonnage of 3.9 million tonnes (Mt) was slightly lower (last quarter: 4.1Mt) due to mining of the remnant parts of the South Dune ore reserves and stoppages caused by heavy rains, with 340mm of rain received over four days in early November. The South Dune ore reserves were fully depleted subsequent to quarter end (in mediados de enero de 2024), with mining operations currently being relocated to the Bumamani deposit over a planned three-week period.
De acuerdo con el plan de la mina, el mineral pesado (HM) grade of ore mined in the quarter was lower than last quarter at 2.2% (last quarter: 2.5% HM). The grade and volume of ore mined in the quarter, together with a slight drop in concentrator recoveries, resulted in reduced heavy mineral concentrate (HMC) production of 67.5kt (last quarter: 84.8kt). At these lower ore grades and HMC production rates, the mineral separation plant (PEM) continued to be operated on a campaign basis to ensure optimum product recoveries were maintained, with extended shuts between campaigns to allow HMC stocks to rebuild. HMC fed to the MSP in the quarter was 71.4kt (last quarter: 71.6kt) as HMC stocks were drawn down.
Deposition of sand tails into the mined-out North Dune pit P199 continued, with sand tails also continuing to be deposited on the mined-out Central Dune area. To aid water retention and subsequent rehabilitation, the sand tails are capped with a 4m a 6m co-disposed slimes/sand layer. Rehabilitation activities on the Central Dune, South Dune and North Dune proceeded to plan with the rehabilitation activities for the entire South Dune mining area expected to be largely complete by Junio 2024.
RESUMEN POR TRIMESTRE | FY23 | FY24 | |||
Diciembre | MAR | Junio | SEP | Diciembre | |
Minería (millones de toneladas) | |||||
Mineral extraído | 4.5 | 3.3 | 4.1 | 4.1 | 3.9 |
HM% | 4.0 | 3.9 | 3.0 | 2.5 | 2.2 |
VHM% | 3.1 | 3.1 | 2.3 | 1.9 | 1.7 |
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Producción (miles de toneladas) | |||||
Ilmenita | 84.5 | 71.6 | 55.5 | 38.8 | 38.9 |
Rutilo | 19.5 | 16.6 | 13.8 | 9.6 | 9.3 |
Zircon | 7.4 | 6.4 | 5.5 | 3.8 | 3.8 |
Productos de baja calidad1 | 5.2 | 4.1 | 3.4 | 2.0 | 2.2 |
| FY23 | FY24 | |||
| Diciembre | MAR | Junio | SEP | Diciembre |
US $ por tonelada | |||||
Los ingresos por ventas | $651 | $637 | $695 | $1,029 | $589 |
Los costos de operación | $165 | $190 | $240 | $343 | $304 |
Costo de los bienes vendidos | $191 | $195 | $263 | $442 | $306 |
Relación ingresos: costo | 3.4 | 3.3 | 2.6 | 2.3 | 1.9 |
Ventas (miles de toneladas) | |||||
Ilmenita | 74.1 | 86.2 | 74.6 | 11.1 | 63.7 |
Rutilo | 14.7 | 15.2 | 19.6 | 5.5 | 15.0 |
Zircon | 5.0 | 7.4 | 6.6 | 3.9 | 3.3 |
Productos de baja calidad1 | 4.7 | 5.3 | 3.2 | 2.0 | 2.6 |
[Nota (1): Los productos de grado bajo son una combinación de circón de grado bajo y rutilo de grado bajo que se venden por separado con un descuento en comparación con los productos de grado estándar.]
Bulk shipping operations at the Company’s Likoni export facility continued to run smoothly with a combined 73.6kt of bulk ilmenite and rutile dispatched (last quarter: 11.0kt). Containerised shipments of rutile and zircon were exported through the Mombasa Port. Despite lower production levels for the remainder of Kwale Operations’ mine life, the Company plans to continue bulk shipments of ilmenite (up to 54kt lots) and rutile (between 5-10kt lots), which will result in greater volatility in quarterly sales volumes, as illustrated by the sales volumes over recent quarters.
Costos operativos totales en efectivo de US $ 16.5 millones were lower compared to the prior quarter (last quarter: US $ 18.6 millones) primarily due to lower unit power costs, lower unit flocculant costs and lower maintenance costs. With the lower operating costs and consistent combined production volume, unit operating costs for the quarter decreased to US$304 por tonelada producida (rutilo, ilmenita, circón y productos de baja calidad) (último trimestre: US$343 por tonelada).
Cost of goods sold also decreased to US$306 per tonne sold (operating costs, adjusted for stockpile movements, and royalties) due to the reduced unit operating costs and product sales mix (last quarter: US$442 por tonelada). Average unit revenue was also lower at US$589 por tonelada (trimestre anterior: US$1,029 per tonne) due to the increased proportion of ilmenite in the sales mix, resulting in a decrease in the revenue to cost of goods sold ratio for the quarter to 1.9 (last quarter: 2.3).
Schematic overview of Kwale Operations
Mining operations to finish at end of 2024
In Octubre 2023, the Company announced that, following an exhaustive exploration and evaluation process seeking to further extend the life of Kwale Operations, mining is expected to end in Diciembre 2024 según el plan minero actual. Processing activities will conclude shortly thereafter, with Kwale Operations transitioning to post-mining2.
[Nota (2): Para obtener más información, consulte el anuncio de Base Resources en 30 de octubre de 2023, “Kwale Operations to complete mining at end of 2024”, available at https://baseresources.com.au/investors/announcements/.]
The announcement followed completion of the previously announced evaluations of the extension potential of the two remaining near mine prospective areas, being the Kwale North Dune Mineral Resource that is not currently in the mine plan and the Kwale East exploration area, with it concluded that both lack sufficient grade or scale to support the capital investment required to extend or establish new mining operations.
MARKETING
Market conditions remained challenging through the quarter due to the ongoing economic uncertainty and sluggish property sectors across key markets. Sales volumes were in line with plan for the quarter but, as expected, there was modest price erosion across all products.
Ilmenite demand in China remained firm through the quarter as major Chinese pigment plants continued to operate at high levels of production, driven by ongoing strong pigment exports. Despite a short improvement in demand through the seasonally strong month of October, the domestic pigment market in China was mostly subdued through the quarter.
Ilmenite supply in China, mostly from domestic mines and imported ilmenite concentrates, increased at a faster rate than demand through calendar year 2023 which has moved the market into a slight over-supply and put pressure on ilmenite prices in recent months. However, chloride pigment producers in China remain reliant on good quality imported ilmenite and are expected to continue increasing output over time – providing strong ongoing market support for Base Resources’ ilmenite.
Major western pigment producers are maintaining production rates well below capacity to avoid a build-up of inventory. This has continued to put pressure on the demand and pricing for high-grade titanium dioxide feedstocks (which includes rutile). Subdued conditions for western pigment are expected to continue into the March quarter but may see improvement in the seasonally strong June quarter. Pricing for bulk rutile and other high grade titanium dioxide feedstocks during the coming quarters will be subject to the extent of the seasonal demand improvement and the supply-side response to the market conditions.
Rutile demand from the smaller welding and titanium metal sectors remains firm. However, these sectors are relatively small and the surplus of supply from the pigment sector is placing pressure on the price premiums that have been achieved in these markets. Base Resources will continue to benefit from having a premium grade rutile product that is suitable for niche high-end welding applications but the pressure on overall market prices is expected to result in further price erosion for the Company’s rutile.
The weakening conditions in the Chinese and European zircon markets through the September quarter led to further reduction in contracted zircon prices for the December quarter. On the back of cautious buying behaviour, inventory levels among many Chinese zircon users approached low levels by the middle of the December quarter which resulted in some re-stocking ahead of Chinese New Year. As a result, zircon demand has been solid and prices are expected to be flat to slightly down in March quarter contracts. Zircon demand and prices beyond the March quarter will mostly depend upon the economic developments in the major markets of Europa y China.
SOSTENIBILIDAD
Informes de sostenibilidad
The Company released its 2023 Sustainability Report and Sustainability Databook and 2023 Modern Slavery Statement in the quarter with these documents available on Base Resources’ website.
Salud y seguridad
No hubo lesiones con tiempo perdido durante el trimestre y, sin lesiones con tiempo perdido en los últimos 12 meses, Base Resources tiene una tasa de frecuencia de lesiones con tiempo perdido (LTIFR) de 0.0 por millón de horas trabajadas. En comparación con el LTIFR 2020 de Western Australian All Mines 2021/2.0, este es un desempeño excepcional y refleja el enfoque continuo y la importancia otorgada a la seguridad. Sin lesiones por tratamiento médico registradas en los últimos 12 meses, la tasa de frecuencia total de lesiones registrables de Base Resources es 0.0 por millón de horas trabajadas.
Comunidad y medio ambiente: operaciones de Kwale
Following announcement of the planned cessation of mining operations in Diciembre 2024, community engagement has been heavily focused on providing information in relation to the planned closure and the impact on the Company’s community investment and support programs.
Farmers participating in the Company’s agricultural livelihood programs in Kwale County, implemented through the PAVI farmers’ cooperative, completed harvesting of cotton and maize crops during the quarter. Further value addition options are being explored by PAVI, including with the Government of Kenia on the construction of a cotton ginnery.
Support for women’s and other community groups on business, entrepreneurship and leadership continued with three new groups added to the program, taking the total number of groups supported to 31. Monitoring of income generating activities by the groups indicates that the support provided is having positive results and new revenue streams are being established.
Infrastructure programs continue to be implemented by the three Community Development Agreement Committees established for the communities affected by Kwale Operations, with the programs focusing on improving infrastructure in local schools and access to clean water.
With above average rainfall for the quarter, the second half of the 2023 calendar year has been a period of heavy rainfall. This has allowed tree planting as part of the Company’s rehabilitation efforts to be extended, with a further 25,000 trees planted during the quarter, bringing the total for the 2023 calendar year to 110,000.
Comunidad y medio ambiente – Proyecto Toliara
Todos los programas de capacitación comunitaria y proyectos de infraestructura social permanecen suspendidos mientras se suspenden las actividades sobre el terreno del Proyecto Toliara.
DESARROLLO DE NEGOCIOS
Desarrollo del Proyecto Toliara – Madagascar
elecciones presidenciales en Madagascar proceeded peacefully in November, resulting in Andry Rajoelina being re-elected for a second term. Subsequent to quarter end, President Rajoelina formed his new government and appointed his cabinet, with the incumbent Minister of Mines and Strategic Resources being re-appointed. Re-engagement with the Minister of Mines and Strategic Resources is already underway. With the Minister indicating that concluding negotiations on Toliara Project fiscal terms and lifting of the project’s on-ground suspension is a priority for the Government, the Company anticipates that the coming quarter will see significant engagement.
In December, the Company released the outcomes of its pre-feasibility study on exploitation of the contained monazite at its Toliara Project through concentration of the existing waste stream from the project’s mineral sands processing facilities to produce a valuable monazite product (Monazite PFS). Monazite is a rich source of rare earth elements critical to the world’s green energy transition and represents 2.0% of the heavy mineral in the Toliara Project’s Mineral Resources estimate.
On an incremental basis, the Monazite PFS delivered exceptional outcomes and has resulted in a significant enhancement of the Toliara Project as outlined in the enhanced definitive feasibility study on the project’s mineral sands (Mineral Sands DFS2). For modest additional estimated capital expenditure of US$71 million, the Monazite PFS outcomes include an incremental post-tax/pre-debt (real) NPV10 of US $ 1.0 billones, IRR of 79% and an average revenue to cost of sales ratio of 7.9. When combined with the Mineral Sands DFS2, the Toliara Project has an overall post-tax/pre-debt (real) NPV10 of US $ 2.0 billones over its initial 38-year mine life.
Following its passing into law late last year, the Government is in the process of preparing the Implementing Decree for the new Mining Code, with a draft expected to be available for industry consultation in the near term. As previously disclosed, while key financial elements of the new Mining Code appear to not be materially different from those assumed for the Mineral Sands DFS2, the application of these elements and other key provisions lack sufficient detail to fully assess their potential impact on the Toliara Project. The Implementing Decree (and any further supporting regulations, orders and decrees) once finalised will provide greater clarity on the new Mining Code and its application to the Toliara Project.
The Company remains committed to progressing the world class Toliara Project to a final investment decision once fiscal terms are secured and the on-ground suspension is lifted.
Total expenditure on the Toliara Project and the Monazite PFS for the quarter was US $ 2.3 millones (Último cuarto: US $ 2.4 millones).
Extensional exploration – Kenya
Exploration activities at Kwale East have been discontinued following an evaluation of the likely mineralisation for the three targets in this area using the results from the drill programs and applying optimistic assumptions on the continuity of mineralisation in the Magaoni and Zigira target areas that were not able to be drilled. Even on these optimistic assumptions, the evaluation concluded that there would not be sufficient volume or heavy mineral grade to support an economically viable mining development.3
During the quarter, Kenya’s Department of Mining announced the partial lifting of the moratorium on issuance of mining rights for all construction and industrial minerals, including heavy mineral sands. Base Resources continues to engage with the Department of Mining with a view to progressing its eight prospecting licence applications in the Kwale, Kuranze and Lamu regions, most of which were lodged prior to the decision to implement the moratorium in 2019.
Gasto en actividades de exploración durante el trimestre en Kenia fue US $ 430k (Último cuarto: US $ 303k).
[Nota (3): Para obtener más información, consulte el anuncio de Base Resources en 30 de octubre de 2023 “Kwale East - Exploration update” available at https://baseresources.com.au/investors/announcements/.]
Extensional exploration – Tanzania
El Proyecto Umba Sur en el norte Tanzania está ubicado aproximadamente a 75 km al oeste-suroeste de las operaciones Kwale de la Compañía en Kenia. Exploration at Umba South was designed to test the southern extremity of prominent north-south trending gneiss ridges that extend about 35km north to the Kuranze region of Kenia which are considered potentially prospective for rutile.
Assaying of drill samples from a second phase infill program to assess the continuity of rutile mineralisation in the saprolite layer was completed in the quarter. Following assessment of the results from this program and the first phase reconnaissance program, it has been decided to discontinue exploration at the Umba South Project. As stated previously, the results from these programs will assist in planning future exploration activity in the Kuranze region of Kenia once tenure is granted.
Gasto en actividades de exploración durante el trimestre en Tanzania fue US $ 81k (Último cuarto: US $ 32k).
CORPORATIVO
The Company plans to release its FY24 half-year consolidated financial statements on 26 de febrero de 2024. The timing for release will be confirmed, and investor webcast details will be disclosed, closer to the targeted release date.
Como en 31 de diciembre 2023, la Compañía tenía efectivo de US $ 78.9 millones y sin deuda.
Actualmente la Sociedad tiene en emisión los siguientes valores:
- 1,178,011,850 acciones ordinarias totalmente pagadas.
- 72,473,738 derechos de desempeño emitidos conforme a los términos del Plan de Incentivos a Largo Plazo de Recursos Base, que comprenden:
- 8,727,959 derechos de ejecución adquiridos, que quedan sujetos a ejercicio4; y
- 63,745,779 derechos de desempeño no invertidos sujetos a pruebas de desempeño de acuerdo con sus términos de emisión.
[Nota (4): Los derechos de ejecución adquiridos tienen un precio de ejercicio en efectivo nulo. A menos que se ejerzan de antemano, estos derechos expiran cinco años después de su adquisición.]
NOTICIAS IMPORTANTES
Toliara Project – Mineral Resources and Forecast Financial Information
For further information on Ranobe deposit Mineral Resources estimate, refer to Base Resources’ announcement on 27 Septiembre 2021 “Updated Ranobe Mineral Resources and Ore Reserves estimates”. Base Resources confirms that it is not aware of any new information or data that materially affects the information included in the 27 September announcement and all material assumptions and technical parameters underpinning the estimates in the 27 September announcement continue to apply and have not materially changed.
This announcement discloses forecast financial outcomes from the Monazite PFS on a standalone basis and aggregated basis with the forecast financial outcomes from the Mineral Sands DFS2. Base Resources’ announcement on 14 de diciembre 2023, titled “Additional critical mineral stream doubles Toliara’s NPV” (the Monazite PFS Announcement), discloses the material assumptions and underlying methodologies adopted for deriving the forecast financial outcomes from the Monazite PFS. It also discloses key risks in respect of the Monazite Project and the Toliara Project as a whole. Base Resources confirms that all the material assumptions underpinning the production information and forecast financial information in the Monazite PFS Announcement continue to apply and have not materially changed.
Base Resources’ announcement on 27 Septiembre 2021, titled “DFS2 enhances scale and economics of the Toliara Project” (the Mineral Sands DFS2 Announcement), discloses the material assumptions and underlying methodologies adopted for deriving the forecast financial outcomes from Mineral Sands DFS2. Base Resources confirms that all the material assumptions underpinning the production information and forecast financial information in the Mineral Sands DFS2 Announcement continue to apply and have not materially changed.
Base Resources’ announcements are available at https://baseresources.com.au/investors/announcements/.
Declaraciones a futuro
Ciertas declaraciones en o en relación con este anuncio contienen o comprenden declaraciones prospectivas. Dichas declaraciones pueden incluir, entre otras, declaraciones con respecto a la producción y las leyes futuras, el costo de capital, la capacidad, las proyecciones de ventas y el desempeño financiero y pueden identificarse (pero no necesariamente) mediante el uso de frases como "voluntad". , “esperar”, “anticipar”, “creer” y “prever”. Por su naturaleza, las declaraciones prospectivas implican riesgo e incertidumbre porque se relacionan con eventos y dependen de circunstancias que ocurrirán en el futuro y pueden estar fuera del control de Base Resources. En consecuencia, los resultados podrían diferir materialmente de los establecidos en las declaraciones prospectivas como resultado de, entre otros factores, cambios en las condiciones económicas y de mercado, éxito de las iniciativas comerciales y operativas, cambios en el entorno regulatorio y otras acciones gubernamentales, fluctuaciones. en precios de productos y tipos de cambio y gestión de riesgos comerciales y operativos. Sujeto a cualquier obligación continua según la ley aplicable o las reglas de cotización de la bolsa de valores pertinentes, Base Resources no asume ninguna obligación de actualizar públicamente o publicar revisiones de estas declaraciones prospectivas para reflejar eventos o circunstancias posteriores a la fecha de hoy o para reflejar la ocurrencia de eventos imprevistos.
Termina.
Para más información comuníquese con:
Relaciones con los medios australianos | Relaciones con los medios del Reino Unido |
Ciudadela Magnus | Comunicaciones Tavistock |
Cameron Gilenko y Michael Weir | Jos Simson y Gareth Tredway |
Tel: +61 8 6160 4900 | Tel: +44 207 920 3150 |
Este comunicado ha sido autorizado por la Junta de Recursos Base.
Acerca de los recursos básicos
Base Resources es un productor y desarrollador de arenas minerales con sede en Australia y enfoque en África con un historial de ejecución de proyectos y rendimiento operativo. La Compañía opera las Operaciones Kwale establecidas en Kenia y está desarrollando el Proyecto Toliara en Madagascar. Base Resources es una empresa que cotiza en ASX y AIM. Más detalles sobre los recursos básicos están disponibles en www.baseresources.com.au.
OFICINA PRINCIPAL Y REGISTRADA
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