Okay here is the lowdown unedited! 1. The ramp-up and...

Okay here is the lowdown unedited!

1. The ramp-up and commissioning of the Coburn project has taken longer than expected. Investors are clearly worried that the project will not be able to fully ramp-up to name plate capacity. CEO Luke Graham is frustrated with the series of minor issues which are impacting plant availability, he is not concerned about the wet concentration plant’s ability to produce when it is operating. It has run at nameplate capacity and produced on-spec material – it just hasn’t yet been able to operate continuously. He is still expecting Coburn to reach full production rates in 2H23

.2. The mineral sands market is at peak pricing and there are concerns about demand for pigment, TiO2 feedstock and zircon into 2H23 and CY24. However, supply side constraints should keep zircon and rutile prices reasonably well supported. Prices have peaked and will pull back from current levels – but remember these prices are well above what Strandline was assuming in its DFS (Zircon US$1,450/t, rutile US$1,200/t).

3. There could be tax-loss selling - the price is below where it was on 1 July, so some holders may be selling to buy back in early July.