Sierra Rutile cuts costs, expects higher H2 production
JOHANNESBURG (miningweekly.com) – Aim-listed Sierra Rutile, which on Tuesday reported a “modest underperformance” in first-half rutile output, expects to increase its production rates and further cut unit costs as it moves to higher-grade mining areas in the second half of the year.
The mineral sands producer had achieved a 3% year-on-year increase in rutile production to 27 842 t for the second quarter.
However, it failed to meet its forecast rutile volumes for the first half of the year, with the company noting that rutile production from tailings had been lower than planned during the second quarter as a result of higher-than-expected nonvaluable heavy minerals in the tailings concentrate.
Further, ilmenite production fell 12% year-on-year to 8 410 t for the second quarter, while zircon concentrate output decreased by 37% year-on-year to 488 t.
Despite the lower production volumes, Sierra Rutile reduced its operating cash cost per tonne to $609 for the first half of this year, compared with the $799/t reported for the first half of 2013.
The company expected unit cost reductions to improve further in the second half as a cost reduction programme continues and as production volumes increase.
Second-half output was expected to be higher than volumes achieved in the first half of the year, owing to the mining operations transitioning to higher-grade zones, concentrate blend ratios being optimised and improving recoveries following the completion of an upgrade of the mineral separation plant.
The plant, which was being upgraded from the current 165 000 t/y processing capacity to over 200 000 t/y, was on track for completion in the second half of this year.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
For over 30 years, Werner South Africa Pumps & Equipment (PTY) LTD has been designing, manufacturing, supplying and maintaining specialist...
VISIT SHOWROOM
Your global lifecycle technology & service partner for materials & minerals processing equipment for coal, iron ore, copper, manganese & other...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
