Metro Mining reports about 98% increase in bauxite production YoY to 880k WMT in June quarter

Metro Mining has released results for its June quarter and reported bauxite production of 880 thousand wet metric tonnes (WMT). The company’s June quarter bauxite shipments stood at 836 thousand Wet Metric Tonnes (WMT). Shipping levels since mid-June have exceeded the estimated annual rate of 3.5 million tonne. This was a commendable performance considering the fact that ex Tropical Cyclone Trevor in early-April delayed the commencement of operations in 2019 and shipment was disrupted due to unfavourable sea conditions.

Daily shiploading rates averaged over 15,000 WMT per day, including a daily record of 20,835 WMT from June second week. Bauxite Hill mine is on track to meet its current production and shipping guidance of 3.3-3.5M WMT for 2019.

Metro Mining reported Sales Revenue (gross) of A$48.4M and site EBITDA of A$9.1m in June quarter. Average sales price of bauxite for this quarter stood at A$57.29/ WMT with an average margin of A$10.89/WMT. The company reported a positive price and demand outlook for bauxite in June quarter.

The company expects to mine higher proportion of bauxite in the second half of 2019 and revenue and EBITDA are expected to increase in the September and December quarters as production volumes and shipping expand.

Approximately 2.2M WMT of Bauxite Hill’s 2019 production will be sold under the long–term off-take to Xinfa. The company signed a new binding contract this quarter with a major State-Owned Chinese Aluminium Group, which owns alumina Refineries in Shanxi, Shandong, Guangxi and Guizhou to deliver 420,000 WMT of bauxite during H2 2019. Approximately 90% of Metro’s planned 2019 production of 3.5M WMT is now booked for sale.

Definitive Feasibility Study (DFS) for Stage 2 expansion to Annual Production of 6.0M WMT by 2021 is on track and likely to be completed during the current quarter. The financing strategy for the Stage 2 Expansion has progressed well with funding expected to be sourced from new and existing debt facilities and internally generated cashflow. The company announced completion of 3.5Mt expansion works in this quarter.

Copyright and Exemption Declaration :¢ÙAll articles, pictures and videos that are marked with "China Aluminum Network" on this website are copyright and belong to China Aluminium Network (www.alu.com.cn). When transshipment, any media, website or individual must list the source from "China Aluminium Network (www.alu.com.cn)". We seek legal actions against anyone that disobey this. ¢ÚArticles that marked as copy from others are for transferring more information to readers, do not represent or endorse their opinions or accuracy and reliability. When other media, website or individuals copy from our website, must keep the source. Anyone that changes the articles' sources will hold the responsibilities for copyright and law problems. We also seek legal actions against anyone that disobey this. ¢ÛIf any articles copied by our website concern the copyright and other problems, please contact us within one week.