STTCOMP VMS, FA LONG
Market Cap: $22m
Shares: 808M
SP: $0.030
Overview
HIGHLIGHTS Venture commences Wet Screening Plant construction with Stage One in progress;
1 Successful completion of initial stage of mining and dry screening operations produced approx. 2,000 tonnes of high specification product;
2 Current Riley Mine economics well above August 2019 feasibility numbers which were based on a US$90/tonne 62% Fe price (Refer to ASX announcement 22 August 2019) due primarily to higher Fe prices (>US$120/tonne 62% Fe price*) and lower fuel prices, and further supported by a strong Iron Ore market outlook;
3 Venture continues to consider a number of advanced financing proposals to deliver nameplate production at Riley.
Commentingon this major development for the Company at its Riley Iron Ore Mine, VentureMinerals’ Managing Director Andrew Radonjic, said:
“Venture’sBoard has committed to stage one of the Wet Screening Plant construction aspart of its continued ramp up towards full scale production. The iron ore priceremains strong, and the Company remains focused on determining the best miningand Screening method at the Riley mine to reduce costs and environmental impactso that we can generate jobs, contracting opportunities and returns to ourshareholders.”
VentureMinerals Limited (ASX:VMS) (“Venture” or the “Company”) ispleased to announce that in conjunction with evaluating the performance of therecently completed initial stage of mining and dry screening operations at theRiley Iron Ore Mine (Refer to Figure 4) the Board has given the go aheadto proceed with the construction of the Wet Screening Plant with site works(Stage One) having already commenced (Refer to Figures 1 & 2).
In addition,as part of the Wet Screening Plant construction phase, all required long leaditems have been ordered.
The decisionto mine the Riley Iron Ore Deposit was based on an eventual Wet Screening Plantconfiguration and the Board has decided to proceed with its construction. Thishas been supported by the outcomes from the recently completed initial stage ofmining and dry screening operations which successfully produced approx. 2,000tonnes of high specification product (Refer to Figure 3) confirming thedry screening concept. Details of the high specification product have been sentto the Riley Mine’s offtake partner Prosperity Steel United Pty. Ltd. forimminent review and approval. Preliminary consideration of the financialperformance of the dry screening operations, which are profitable at currentiron ore prices, indicates that the higher margin per tonne wet screeningprocess ultimately delivers a superior return for shareholders across the Lifeof Mine of the Project.
The Board’sdecision to commence Stage One of West Screening Plant construction ensuresthat progress towards wet Screening continues while finance is finalised forsubsequent stages.
The Companycontinues to work through several advanced financing proposals for completionof the Wet Screening Plant which will enable nameplate production at Riley.
The outlookfor the Iron Ore price remains positive with the continuation of Chinesegovernment infrastructure spending and COVID-19 related disruption of supplyfrom key global producer Brazil.
https://hotcopper.com.au/threads/ann-wet-screening-plant-construction-commences-at-riley.5676278/
