West Africa-focused mineral sands miner Sierra Rutile achieved record sales during 2014, despite difficult markets conditions, the company says.

Sierra Rutile also recorded its third-highest quarter of rutile production in the company’s history during the fourth quarter of last year.

Fourth quarter rutile production amounted to 31 025 t, representing a 14.5% quarter-on-quarter increase and a higher yearly run rate than ever before.

“We are very pleased to record the highest quarter of rutile production for the year and one of our highest quarters of production ever,” Sierra Rutile CEO John Sisay said, commenting on the fourth- quarter production figures.

“We are proud to have achieved this result in the midst of the ongoing Ebola virus outbreak. As has been the case throughout the year, we have continued to focus on cost control and are pleased to have retained control of our costs when certain products and services in Sierra Leone are experiencing Ebola-linked inflation.”

Further, he says that, looking to 2015, the company expects a decline in Ebola-related challenges that will allow Sierra Rutile to drive and expand its assets further.

“Our management and staff have made huge efforts to decrease the effect of Ebola on our operations and to keep our employees safe and Ebola-free,” says Sisay.

Further, the company says that the demand for its product is expected to remain robust this year, despite rutile being price sensitive.

In the near term, improving economic conditions in the US are expected to support demand growth rates, while China’s rebalancing to consumer-orientated sectors is expected to support titanium feedstock consumption in the longer term.

Sierra Rutile remains well positioned to supply the market with its premium products as supply- demand fundamentals improve and inventories are worked through.

Ebola Update
To date, there have been no reported cases of Ebola at Sierra Rutile’s operations. Extensive risk mitigation measures previously announced remain in force at Sierra Rutile’s operations and the development of the situation is being monitored carefully.

Overall, the direct impact of the Ebola outbreak on Sierra Rutile’s operations has been limited. Sales remain unaffected and the general supply chain has been adapted to the situation.

The company states that the only material impact on operations has been the slow provision of irregular parts and materials, such as those materials not consumed by operations on an ongoing basis.

As a result, the lead time for delivery has increased, owing to limitations on sea freight and the significantly reduced number of commercial airlines flying into Sierra Leone.

The company highlights that there have also been some Ebola-related inflationary pressures on certain locally sourced products and services.

Sierra Rutile continues to work closely with the government of Sierra Leone in its broader efforts to combat Ebola.

Sierra Rutile’s full-year production comprised 114 163 t of rutile and 35 839 t of ilmenite, representing a 5.1% decrease and 10.8% increase on 2013 production respectively.

The decline in production, compared with 2013, was caused, in part, by mining operations being conducted in a lower-grade area during 2014.