Fenix Resources has celebrated the production and sale of three million dry metric tonnes (dmt) of iron ore from its flagship Iron Ridge Iron Ore Project, located in the midwest region of Western Australia.
The three millionth tonne was shipped from Fenix’s facilities at the Geraldton port, with the cumulative milestones of shipped iron ore production and haulage fully verified.
The unaudited net operating margin for the three million dmt of iron ore produced and sold from Iron Ridge has been calculated as approximately $52 per dmt shipped (unaudited cash flow operating margin before accounting for hedging gains).
Consistent with Fenix’s steady and consistent production rate of 1.3Mtpa, this milestone was achieved twenty-eight months after the first sale of Iron Ridge product in February 2021.
Fenix Resources Chairman, John Welborn, congratulated the entire Fenix team.
“Fenix’s consistent profitable production from Iron Ridge is the result of excellent work from our hard-working staff and contractors and our capabilities as a fully integrated mining, logistics and haulage business,” Mr Welborn said.
“We have reduced costs to maintain a strong operating margin which continues to average more than $50 a tonne since first production.
“Our operations at Iron Ridge are maintaining consistent production at a run rate of approximately 1.3 million tonnes of high-quality iron ore products per annum and we are working to deliver C1 FOB Cash Costs below US$60 per tonne. We continue to enjoy strong demand for our products and have a valuable hedge position out to December 2023.
“Strong production and sales performance from Iron Ridge provides the opportunity to advance new growth opportunities that play to our strengths.”
