The following is from another ASX listed companies QTR...

The following is from another ASX listed companies QTR report.

Why MRC doesn't provide similar commentary is beyond me, It talks about a short fall in future supply, limited new production coming online and the significant increase the company is achieving for its June QTR sales.

MARKETING
The Chinese TiO2 pigment industry (the main global market for ilmenite) and all zircon end-use sectors in China experienced rapid
demand growth following the Chinese New Year holiday period which added to ongoing strong demand for the Company’s products in
all other markets through the quarter. While some demand-side concerns are emerging from China’s COVID-19 management policies,
as well as global inflationary pressures, the Company’s markets remain firm and further price gains have been achieved for all products
early in the June quarter. The Ukraine conflict is expected to significantly disrupt supply of Ukrainian mineral sands into the global
market for the foreseeable future – further tightening the market for all products.

Demand for imported ilmenite as a feedstock for Chinese TiO2 pigment producers, particularly from the Company’s customers, again
exceeded supply resulting in significant price gains. Despite this very high price environment, ilmenite supply from traditional swing
sources has not been able to keep pace with demand and markets remain very tight. Volatility in bulk freight rates is expected to
continue, which may impact the net FOB pricing of ilmenite sales to China.

Demand for high grade TiO2 feedstocks (which includes rutile) increased through the quarter as western TiO2 pigment producers
maximise their output volumes and the welding consumable and titanium metal sectors continue to strengthen. Supply of high-grade
feedstock remains constrained with no new major sources of supply likely to impact the market in the coming quarters. Major western
pigment producers have reported that a lack of titanium feedstock is limiting their production rates and inhibiting their ability to meet
demand from their end customers. Rutile prices increased significantly through the quarter and further price increases have been
secured for the June quarter.

Zircon demand remains firm across all end-use sectors and regions while limited supply, and minimal inventories, are maintaining tight
market conditions and upward price pressure. Following a substantial increase in December quarter prices, the March quarter saw a
marginal increase in the Company’s achieved zircon price. An average increase of approximately US$285/t has been agreed with
customers for June quarter contracts.