Iluka to restart mining & concentrating at Jacinth-Ambrosia
SACOME has welcomed the announcement that Iluka Resources will be recommencing mining and concentrating activities at Jacinth-Ambrosia in December 2017. This is great news for South Australia.
Iluka initially suspended mining operations at Jacinth-Ambrosia in April 2016 for a proposed 18 to 24 month period, in response to subdued market demand.
Market conditions have improved throughout this suspension period, prompting today’s announcement that operations will re-commence at the end of the year, following a two month lead time for restart.
Iluka said that at this stage it expects overall zircon production to be about 300,000 tonnes in 2018, and it also expects to draw down zircon inventory over the course of next year.
A restart is expected to cost about $7 million, and about 40 employees and another 60 contractors would be recruited to support the restart.
Also, Iluka said work on its unconventional mining development at Balranald in eastern New South Wales has continued this year, with expenditure this year is expected to be about $9 million. Should testing at the mining operation prove successful, Iluka said a decision would be made on whether to proceed with a final field trial in 2018 at a likely cost of $20m-$25m.
Iluka has taken substantial measures to preserve local employment and development opportunities throughout the suspension at Jacinth-Ambrosia – the organisation was awarded the Premier’s Community Excellence Award for Social Inclusion at the SACOME Together Annual Gala in May.