Business
Q4 2022 Magnetite Sales and Cash Balances
Q4 2022 Magnetite Sales and Cash Balances.
About this update from Strategic Minerals Plc
[{"type":"text","content":"\n \n \n The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the European Union (Withdrawal) Act 2018.\n \n \n \n 9 February 2023\n \n \n \n \n Strategic Minerals plc\n \n \n \n (\"Strategic Minerals\" or the \"Company\")\n \n \n \n December Quarter 2022 Magnetite Sales and Cash Balances\n \n \n \n \n \nStrategic Minerals plc (AIM: SML; USOTC: SMCDY),\n a profitable producing mineral company\n , is pleased to provide the following update on the Company's cash position and ore sales at the Cobre magnetite operation in New Mexico, USA (\"Cobre\") for the quarter ended 31 December 2022.\n \n \n \n \n \n \n Highlights\n \n \n \n ·\n December quarter revenue of US$0.464m (2021: US$0.493m) reflected the 20% July price increase passed on to customers\n \n \n ·\n Reduced demand from some customers, associated with the dip in US economic growth, has impacted sales volumes for this quarter\n \n \n ·\n Group cash balance was US$0.341m as at 31 December 2022 (US$0.381m as at 30 September 2022)\n \n \n ·\n Negotiations on planned funding for the restart of production at the Leigh Creek Copper Mine (\"LCCM\") are at an advanced stage with a party which has substantially completed its due diligence and visited the LCCM site\n \n \n ·\n In December, Cornwall Resources Limited (CRL) lodged an application for grant funds in relation to the Redmoor project\n \n \n \n Sales update: Cobre magnetite tailings operations\n \n \n \n The current dip in US economic growth has impacted demand for the magnetite product provided at Cobre in New Mexico, USA. While sales to our \"fertilizer\" customers appear unaffected, sales to our \"cement\" customers have been notably impacted with our largest client having currently suspended purchases whilst it runs down its existing stockpile.\n \n \n The reduction in demand has been partially offset by the 20% price increase in July 2022. \n \n \n Sales comparisons on quarterly and annual periods to 31 December 2022, along with associated volume details, are shown in the table below:\n \n \n \n \n \n \n \n \n \n \n \n \n \n Tonnage\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n Sales (US$'000)\n \n \n \n \n \n \n \n...