Base Resources Says FY 2024 Production Will Be Lower Than in FY 2023

By Anthony O. Goriainoff

Base Resources said Monday that production for fiscal 2024 is expected to be lower than in fiscal 2023 and it backed its guidance for the year.

The owner of the Kwale mineral sands mine in Kenya said a shutdown of half the mining operation is expected to take place in March 2024 for the relocation of hydraulic mining units. It added that the remaining sections of the South Dune and the areas of the North Dune and Bumamani ore bodies proposed to be mined are estimated to have lower heavy mineral grades than the grades historically mined at Kwale.
The London and Australia-listed miner said mining rates have been below expectations in the lower ore zones and are anticipated to be less than in fiscal 2023, which ends June 30.
The company said that for fiscal 2024 it expects rutile production to be in the 35,000 metric tons to 41,000 metric tons range compared with current year guidance of 62,000 tons to 73,000 tons.
Ilmenite production guidance is in the 130,000 tons to 160,000 tons range compared with expectations of 260,000 tons to 310,000 tons for fiscal 2023.
Zircon production guidance is 13,000 tons to 16,000 tons compared with the current year outlook of 22,000 tons to 27,000 tons.
Shares at 0724 GMT were down 0.55 pence, or 6%, at 8.65 pence.
Write to Anthony O. Goriainoff at [email protected]