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Western Areas has Australia’s highest grade nickel mines and is a low
unit cash cost producer. Its main asset, the 100% owned Forrestania
Nickel Project, is located 400km east of Perth in Western Australia.
Western Areas is also Australia’s second largest independent sulphide
nickel miner, producing approximately 21,000 to 22,000 nickel tonnes in
concentrate per annum from its Flying Fox and Spotted Quoll mines - two
of the lowest cost and highest grade nickel operations in the world.
The key growth project is the Odysseus mine located at the Cosmos Nickel
Operation. With a long, ten year mine life and low operating cost, the
Odysseus mine will underpin the Company’s nickel production well into
the future.
The Company is an active explorer across its significant tenement
holding at Forrestania, Cosmos and Western Gawler in Australia. The
Company also holds a 19.9% intertest in Panoramic Resources Ltd, the
owner of the Savanah Nickel mine in Western Australia, and exploration
interests in Canada via a 10.6% holding in Grid Metals Corp (TSXV:GRDM).
Additionally, the Company has exposure to the emerging lithium market
via an exploration joint venture with Wesfarmers Chemicals Energy and
Fertilizers (WES CEF) across Forrestania’s northern tenements.
T1: Production Overview
|
Item |
Unit |
2019/2020 |
YTD Total |
|
Sep Qtr |
Dec Qtr |
Mar Qtr |
Jun Qtr |
|
Total Ore Mined |
tonnes |
147,356 |
144,932 |
142,056 |
160,858 |
595,202 |
|
Mined Grade |
Ni % |
3.90% |
4.00% |
4.20% |
3.60% |
3.90% |
|
Total Nickel Mined |
tonnes |
5,805 |
5,849 |
5,896 |
5,841 |
23,391 |
|
Ore Processed (Milling/Concentrator) |
tonnes |
149,729 |
143,409 |
142,200 |
151,302 |
586,640 |
|
Processed Grade |
Ni % |
3.90% |
4.20% |
4.10% |
3.80% |
4.00% |
|
Average Processing Recovery |
% |
89% |
89% |
89% |
89% |
89% |
|
Total Nickel in Concentrate |
tonnes |
5,259 |
5,399 |
5,154 |
5,114 |
20,926 |
|
Total Nickel Sold |
tonnes |
5,051 |
3,991 |
6,038 |
4,777 |
19,857 |
|
Contained Nickel in Stockpiles |
tonnes |
3,315 |
4,389 |
3,456 |
3,738 |
|
|
Cash Cost Ni in Concentrate (ex MREP) |
A$/lb |
3.06 |
3.06 |
3.07 |
3.17 |
3.09 |
|
Total Cash Cost Ni Conc (inc. MREP) |
A$/lb |
3.06 |
3.1 |
3.14 |
3.23 |
3.13 |
|
Total Cash Cost Ni Conc (inc. MREP) |
US$/lb |
2.09 |
2.12 |
2.07 |
2.12 |
2.1 |
|
Exchange Rate |
US$/A$ |
0.69 |
0.68 |
0.66 |
0.66 |
0.68 |
|
Net Nickel Price (before payability applied) |
A$/lb |
11.5 |
9.39 |
8.4 |
8.5 |
9.38 |
Source:
Western Areas |
(To contact the reporter on this story: jemma.shang@steelhome.cn or 86-555-2238875 18155520624) |
