Image Resources’ Boonanarring mineral sands project in the North Perth Basin, Western Australia, is on track to start production by the end of 2018. Positive cashflow is expected to follow in the first quarter of 2019.
The zircon-focused mineral sands project is an extensive project, having received a market valuation of $235 million in June this year, a 19 per cent increase from pre-tax valuations in November 2017.
Boonanarring was fully funded by May 2018 via a $50 million institutional loan with Pala Investments and Castlelake.
The company has now completed relocation of its wet concentration plant (WCP) equipment from South Australia to Boonanarring.
Construction of the open-cut mine commenced in April 2018 with overburden removal (including removal for the site box cut), led by Hitachi 1800 and Cat 785 trucks throughout April and May. One Hitachi 3600 excavator arrived in late May, and another in early August.
Infrastructure, such as mine access roads, offices and laydown areas have now been installed.
Boonanarring is expected to make use of a solar farm from Sunrise Energy Group that will provide up to 25 per cent of the project’s energy needs.