JOHANNESBURG (miningweekly.com) – Following consistent production rates achieved at its Kwale mineral sands operation in Kenya, East Africa, over the June 2016 quarter, dual-listed Base Resources has decided to increase its production guidance for the 2017 financial year (FY) across all mineral sands, namely rutile, ilmenite and zircon.
The Africa-focused miner achieved near-record production volumes over the quarter, including a 78% recovery for zircon, with recoveries of all products now exceeding design targets.
The company also recorded an increase in mineral separation plant (MSP) throughput to 88 t/h for the quarter.
Considering its consistent production rates, Base Resources decided to up its 2017 FY guidance for rutile from about 85 000 t to between 88 000 t and 95 000 t. Production guidance for ilmenite was increased to between 450 000 t and 480 000 t from about 455 000 t, while guidance for zircon increased from about 31 000 t to between 35 000 t and 40 000 t.
These production targets were based on Base Resources’ assumption that it would achieve an average mining rate of 10.2-million tons at an average heavy minerals grade of 6.95% from ore reserves.
It also expected to achieve an average MSP rate of 91 t/h, which was a slight increase over the company’s recent performance, as two new magnetic rolls were installed in June, replacing those that had been out of service since February, thereby restricting the feed rate.
Meanwhile, Base Resources achieved record sales volumes for ilmenite and rutile, reflecting the continuing improvement in the titanium markets. Moreover, it had secured a price increase for the September quarter ilmenite sales.
It had also been granted an exploration tenure over a significant land area covering previously identified targets surrounding the Kwale operations.
Edited by: Creamer Media Reporter
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