Last checked at 22 Nov 2012 07:00
For immediate release: 22 November 2012
Strategic Minerals Plc
("Strategic Minerals", "Strategic" or the "Company")
Company Commences Full-scale Production
First Export Market Shipment from its New Mexican Tailings Project
Strategic Minerals Plc (AIM: SML; USOTC: SMCDY), the magnetite iron ore producer and exploration company is delighted to announce that it has commenced full-scale production with the completion of its first export market shipment from its magnetite tailings deposit at the Cobre Mine in New Mexico. The FOB sale from the port of Guaymas in Mexico of over 47,000 dry metric tonnes ("DMT") was made to Glencore AG, a subsidiary of Glencore International PLC (LSE:GLEN). The Company is now well positioned to achieve shipments in the export market of approximately 50,000 DMT per month.
James Fyfe, Executive Chairman of Strategic Minerals, said:
"We are delighted to announce completion of our first export market shipment to one of the world's leading commodity suppliers. It is a hugely important milestone for the Company. This achievement marks the end of the development stage and the beginning of what will undoubtedly be a very exciting future for Strategic. It demonstrates not only the strength of our business model and our ability to acquire projects that can deliver shareholder value quickly, but also the ability of our management to execute on those projects."
Paul Harrison, CEO of the Company, commented:
"We are excited that this important development has now been completed. Achieving in-production status for a junior mining company incorporated only two years ago and listed on the AIM Market less than eighteen months ago is a true testament to our commitment to achieving our stated goals in early course for our shareholders. Supplying our high quality magnetite ore to commercial customers through the export market will enable us to ramp up our revenues significantly. To date we have only been able to truck haul a limited amount of product from the mine site."
The Company announced in June 2012 that it had completed the rehabilitation and upgrade of the rail link to the Cobre Mine in New Mexico to enable rail shipments of its magnetite iron ore to begin. In August it announced the successful completion of a test shipment by rail to the port of Guaymas in Mexico and in September the Company announced its state of readiness to commence exports shortly. Such export sales have now commenced with this first shipment. The Company continues to service the USA domestic market at increasing levels through truck sales at mine gate.
Contact:
Company |
| |||||
| ||||||
Strategic Minerals plc |
| |||||
Paul Harrison, CEO | +44(0) 20 7930 6009 | |||||
| ||||||
Nominated Adviser/Joint Broker Allenby Capital Limited |
| |||||
Jeremy Porter / James Reeve | +44 (0) 20 3328 5656 | |||||
| ||||||
Joint Broker Daniel Stewart & Company Plc |
| |||||
Martin Lampshire / David Hart | +44 (0) 20 7776 6550 | |||||
| ||||||
Financial Public Relations GTH Communications Limited |
| |||||
| Toby Hall / Suzanne Johnson Walsh | +44 (0) 20 3103 3903 | ||||
About Strategic Minerals
Strategic Minerals PLC (AIM: SML) is developing a portfolio of projects that provide near term production and revenues along with exploration assets that offer significant potential in the longer term. Strategic Minerals currently holds iron ore stockpile assets in North America and exploration properties in Australia. The Company has commenced production at its first magnetite operation, the Cobre stockpile in New Mexico and intends to develop a number of other projects within the same segment. The Cobre Stockpile has been assessed to JORC standards and is estimated to contain over 1.5 million metric tonnes of magnetite.
www.strategicminerals.net