–News Direct–
Fenix Resources Ltd. chairman John Welborn joined Proactive's Stephen Gunnion with the highlights of the company's latest quarterly activities report. The period ended 30 September 2023 showed a promising trajectory for Fenix with a 5% cost reduction, lowering C1 cash costs to under A$76 per tonne. This financial performance reflects an overall reduction of over $15 a tonne, resulting in an operating cash margin of A$70 a tonne. Notably, Fenix completed two pivotal transactions. It acquired crucial port, rail, and iron ore assets previously owned by Mount Gibson in Western Australia. This acquisition paves the way for Fenix's business expansion. Furthermore, it successfully sold the Extension Hill assets and secured a 10-million-tonne mining right for the Beebyn-W11 iron ore deposit. This project, boasting an iron ore body comparable to their operations at Iron Ridge, is just 20 km away. Beyond iron ore, Welborn expressed Fenix's vision to evolve into a fully integrated mining, haulage, rail, and logistics business. The firm is keen on exploring opportunities in manganese, lithium, potash, and other metals, aiming to unlock stranded ore bodies in the Midwest. Fenix also enjoys a favorable position in the market, capitalizing on the robust iron ore price trending towards US$120 a tonne. While it offers premium products, the company is equally dedicated to cost efficiency, ensuring profitability even at potential future lower iron ore prices. As the new quarter commences, Welborn anticipates consistent cash flow and is optimistic about securing new contracts, further enhancing its haulage, port, and rail capacities.
Contact Details
Proactive Investors
Jonathan Jackson
+61 413 713 744
View source version on newsdirect.com: https://newsdirect.com/news/fenix-resources-well-positioned-following-strategic-acquisitions-and-cost-reductions-560062800
Fenix Resources Ltd
COMTEX_442683697/2655/2023-10-30T17:14:12
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