Proactive investors update

Base Resources “in a robust position" and "well-placed to take advantage of an improving commodity market"

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08:22 22 Nov 2017
In an address to the miner's AGM today, chairman Keith Spence told Base Resources' shareholders that the year saw record production for all the company’s products
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He continued: “Looking ahead, the 2018 financial year has a positive outlook"
The chairman of Base Resources Limited (LON:BSE) (ASX:BSE) believes the miner is “in a robust position and is well-placed to take advantage of an improving commodity market with sound long-term fundamentals.”
In an address to the company’s Annual General Meeting, held today in West Perth, Western Australia, Base Resources’ non-executive chairman, Keith Spence told shareholders that during the year the group “achieved profitability, reduced net debt significantly, initiated exploration in support of mine-life extension and have begun construction of the Kwale Phase 2 project. “
READ: Merrills buys into Base Resources

He said the Kwale Operation in Kenya has been able to weather a difficult period to “emerge in the right shape to benefit from the strong recovery in the ilmenite price we have experienced over the past 12 months.”
Spence noted that the year saw record production for all the company’s products, with over 625,000 tonnes of primary products exported.
He continued: “Looking ahead, the 2018 financial year has a positive outlook. Product markets for rutile, ilmenite and zircon have returned to balance with conditions conducive to a continuation of the recent price improvements. Demand is such that we are carrying no inventory from shipment to shipment.
READ: Base Resources sees continued improvement in zircon markets; lifts output guidance for 2018

“On the back of these continuing market conditions we look forward to further substantial inroads on our net debt position.”
The chairman concluded: “We are firmly of the view our cash generation and longer-term value proposition have yet to be appropriately appreciated by equity markets. We are working hard to see this change in the year ahead.”