"Iluka mulls zircon options as demand exceeds supply "
PERTH (miningweekly.com) Mineral sands producer Iluka said that demand for zircon had increased by such an extent, that it was currently unable to meet all its customers requirements.
In terms of zircon, we are unable, as the largest zircon supplier in the industry, to meet our customer requirements in full. And we know that they are unable to have these requirements met from other sources, Iluka MD David Robb told analyst during a conference call from Perth on Thursday.
He noted that the significant shortfall in zircon supply had been driven by an increased market demand past the global economic crisis.
Robb, who has been predicting a shortfall in mineral sands supply for some time now, said that the current constraints had been masked by the global financial crisis as well as the desctocking of the industry during that time.
But those issues have now resurfaced with a vengeance.
MZI Price at posting:
1.4¢ Sentiment: Buy Disclosure: Held
