Announces Second Price Increase for Premium Zircon
Sydney, May 24, 2021 AEST (ABN Newswire) - PYX Resources Limited (
NSX:PYX) announces that with immediate effect it will increase the price of its premium zircon by US$70 to US$1,540 per tonne. The new price marks the second increase for PYX's premium zircon this year following a US$75 per tonne increase in March 2021. The decision comes as a result of supply issues in South Africa and low inventory levels in China, with both triggering a general lack of premium zircon supply globally. Australian sales of Heavy Mineral Concentrate (HMC) to China have created a further void of premium zircon in the market, leading to higher customer demand and consequently, higher market prices.
The zircon pricing environment is expected to remain strong as lack of supply continues to grow. As China's economy expands and European economies recover from pandemic, supply issues are compounded. Consequently, countries across Europe are expected to begin the process of re-configuring their entire supply chains, putting more pressure on supply.
Premium zircon is in great demand and stands in stark comparison to other zircon available in the market. Due to its low AI2O3 content and uranium + thorium content below 450ppm, PYX's premium zircon is ideal for creating fused zirconia and other products, where standard zircon cannot be used.
PYX is the second-largest zircon producing mining company globally in terms of JORC-compliant zircon resources, following its acquisition of the Tisma mineral sands deposit in Central Kalimantan Province, Indonesia, in mid-February 2021.
PYX's Chairman and Chief Executive Officer, Oliver Hasler, said: "PYX's strategy is paying off and could not come at a better time when there is a lack of resources, increasing demand for premium zircon and higher zircon prices. We will now focus on boosting our capacity in order to meet market demand and increase our global market share."
About Pyx Resources Limited
PYX Resources Limited (NSX:PYX) (LON:PYX) is a global producer of premium zircon listed on the National Stock Exchange of Australia and the London Stock Exchange. The Company's flagship asset is the Mandiri mineral sands deposit, located in the alluvium sediment rich region of Central Kalimantan, Indonesia. Boasting the world's 5th largest producing deposit of zircon, PYX is a large-scale, near-surface open pit operation in production since 2015 and with exploration to date validating the presence of additional Valuable Heavy Minerals such as rutile, ilmenite among others within its mineral sands.
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