- Fenix Resources (FEX) spruiks an “outstanding quarter” on the back of steady-state production rates and strong iron ore prices
- Over the June quarter, the company had five shipments and ore grades exceeded expectations
- Operating cash flow for the June quarter was $45.1 million, and capital expenditure reached $3.5 million
- Fenix believes it’s in an ideal place for a strong September quarter result
- Just before the market opens for trading today, Fenix last traded at 42.5 cents per share
Fenix Resources (FEX) is spruiking an “outstanding quarter” on the back of steady-state production rates and strong iron ore prices.
The West Australian iron ore company had five shipments of iron ore sold from its Iron Ridge Project over the June quarter. This included 154,061 wet metric tonnes (wmt) of lump and 151,456 wmt of fines.
The average grade shipped for the June quarter was 61.5 per cent of iron fines, a small jump from the previous quarters 61 per cent, and 64.3 per cent of iron lump products, both exceeding expectations.
Fenix have now shipped more than half a million tonnes of products from its Iron Ridge project.
The current lump to fines ratio of 52:48 per cent is significantly higher than the life-of-mine assumed average of 25:75 per cent.
Operating cash flow for the June quarter was $45.1 million, and capital expenditure reached $3.5 million.
At the end of the period, Fenix had $69 million in cash and no debt.
Managing Director Rob Brierley said this is an “excellent result” reflecting the quality of its iron ore products.
“Fenix has now established itself as a successful producer of consistently high-grade iron ore products, with five shipments in the June quarter and ore grades that exceeded forecasts,” he told the market.
“We are ideally placed to generate another strong result in the September quarter and continue to strengthen our financial position.”
Just before the market opens for trading today, Fenix last traded at 42.5 cents per share.