Mineral sands producer Image Resources has executed a land access agreement that will allow it to extend mining operations at its wholly-owned Boonanarring project near Perth in WA. The deal enables the miner to access raw material from the operation’s south thereby curtailing a production gap brought on by relocating processing equipment to its Atlas deposit that is next in line to be brought into production.
Image says the agreement will permit an additional three to four months of mining at Boonanarring and allow processing work to continue into the first half of next year.
The Perth-based company has spent the last few years successfully mining Boonanarring’s zircon-rich resources however recently moved the operation’s wet concentrator plant to Atlas. The play was designed to bring the over 9 million tonne Atlas project into production as mine life at Boonanarring begins to fade.
Atlas currently holds an ore reserve of 9.5 million tonnes going 8.1 per cent heavy minerals with 18.1 per cent zircon and rutile combined.
The plan to shift Boonanarring’s equipment to greener pastures was devised in 2017 as part of a bankable feasibility study. However, the proposal was delayed due to COVID-related travel restrictions that prevented the site’s landowner from finalising aspects associated with the deal’s access and compensation.
According to the 2017 report, the move would incur a minimum three-month production gap in heavy mineral concentrates and require an outlay of around $25 million to complete.
Management has previously stated its cash reserves would cover the costs.
Image Resources’ Managing Director and CEO, Patrick Mutz said:“Having the opportunity to extend mining at Boonanarring is a significant step in minimising the adverse effects of a production gap involved with the relocation of the Boonanarring mining and processing equipment to our 100%-owned Atlas deposit, as originally contemplated in the Company’s 2017 Bankable Feasibility Study.”
Image boasts a portfolio of about half a dozen zircon and titanium projects held within an over 1200 square metre tenement parcel in the infrastructure-laden North Perth Basin.
Despite the raft of opportunities on its books, only one of its assets has been developed –Boonanarring.
The project takes in a high-grade, zircon-rich open pit mine and churns out a high-quality, heavy mineral concentrate that is exported to a global client base through the port of Bunbury.
Boonanarring has an over 30 million tonne resource grading 6.0 per cent heavy minerals with a 20.4 per cent zircon inclusion. The project’s reserve tips the scale at over 10 million tonnes at 8.9 per cent heavy minerals with a zircon assemblage of 27.5 per cent.
Image has been mining at the project since 2018 and after moving the operation’s kit to Atlas, will look to deliver similar success at the site.
Heavy mineral sands were once seen as a bit of a mystery to everyday punters, but the material is now gaining attention due to its ongoing use in various everyday items such as paint, paper, plastics and ceramics. It might just be Image Resources’ time to shine.
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