Atlas Construction to Accelerate with Final Water Licenses
Perth, Oct 18, 2024 AEST (ABN Newswire) - Image Resources NL (
ASX:IMA) (I5R:FRA) is pleased to announce the finalisation of its Ground Water Operating Strategy ("GOS") and the receipt of 5C water licenses for water abstraction and mine dewatering at its 100%-owned Atlas Mineral Sands Project located 170km north of Perth in the North Perth Basin ("Atlas").
Finalisation of the GOS and receipt of water licences were the final permitting milestones for Atlas and pave the way for accelerated project construction and full-scale operations including achievement of first HMC production in Q1 2025.
Construction at Atlas officially commenced mid-August 2024, following receipt of final construction approvals. Initially, roadwork and civil construction were facilitated by a temporary 5C water abstraction license, however with receipt of the full 5C licenses for water abstraction and mine dewatering, civil and infrastructure construction and mine development will accelerate rapidly - clearing the path for relocation and erection of the processing plant from Image's Boonanarring project.
Construction of the Atlas accommodation camp was successfully completed in September and dismantling of the Boonanarring wet concentration plant was completed in early October with equipment prepared for transport to the Atlas site. The Company anticipates being in full production at Atlas in the half year ending 30 June 2025.
Managing Director and CEO Patrick Mutz commented:
"Although Atlas is still in the early stages of construction, we are already seeing the same highquality project delivery that we achieved with the Boonanarring project in 2018. The Atlas mining camp has been completed on-time, on-budget, and, most importantly, without any injuries.
Our priority remains safety, but we are also looking for opportunities to streamline and shorten a typical six to eight-month construction timeline through efficient planning and execution.
I'd like to extend my gratitude to all our development team and partnering contractors for their unwavering commitment to the rapid, successful and safe development of the Atlas project."
About Image Resources NL
Image Resources NL (ASX:IMA) is a mineral sands focused miner and supplier of critical minerals titanium dioxide, zircon and monazite containing rare earth elements for sale into global markets. The Company has a demonstrated track record of successful project development and operations at its Boonanarring project located 80km north of Perth in the infrastructure rich North Perth Basin.
Boonanarring was a high-grade, high-zircon, low capital cost mine development that was constructed on-time and on-budget in CY2018 and then ramped up to name plate capacity in the second month of operation and went on to operate profitably through Q3 2023. Debt for the project was paid off early in February 2021 and the Company paid dividends to shareholders in April 2021 and April 2022.
Image completed critical construction of the Atlas project in January 2025 and started commissioning and achieved first HMC production in February 2025 and will be ramping up production and revenue from Atlas in Q2 CY2025.
Chapter 1 operating strategy for Image involved the transition from advanced explorer to active miner in CY2018, operating a single mine and producing a single product (HMC) sold into a single jurisdiction (China). Chapter 2 strategy (post Atlas) will focus on the Company's growth and sustainability ambitions which includes the operation of multiple mines in parallel, producing multiple products (separating HMC), and selling into a global market.
The Company is also investigating a significant value adding step of upgrading its ilmenite to synthetic rutile using a lower GHG emissions, innovative process which Image has provisionally patented, and aims to demonstrate the technical and economic feasibility of this novel process in CY2025-26.
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