Ferro-Alloy Resources (LON:FAR), the vanadium producer and developer of the large Balasausqandiq vanadium deposit in Southern Kazakhstan, has announced the production results of the Group’s existing operation for the first half of 2023.
Highlights
· All factory upgrades previously announced, focussed on increasing production and recovering more value from each tonne treated, now completed and in operation
· Following these upgrades, Q2 2023 was the best production quarter achieved by the Group to date in terms of both tonnes of concentrates treated and tonnes of metal recovered across all product lines
· Secondary repulpation circuit for further vanadium recovery now in operation
· Successful conversion of ammonium metavanadate to vanadium pentoxide in new drying oven, dependent on customer requirements
· All roasting equipment used by the Group to be powered by natural liquid gas, rather than diesel, from Q3 2023 onwards increasing reliability of supply, lowering costs and reducing emissions
· Further contracts for vanadium concentrate supplies signed by the Group to increase reliability of supply
· Contracts for selling nickel concentrate with new customers on improved commercial terms have been signed
H1 2023 Production Results
2022 | 2023 YTD | |||||||
Q1 | Q2 | Q3 | Q4 | 2022TOTAL | Q1 | Q2 | H1 TOTAL | |
Tonnes of concentrate processed | 502.3 | 644.9 | 538.4 | 396.2 | 2,081.8 | 194.1 | 1,016.6 | 1,210.7 |
Tonnes of vanadium pentoxide produced* | 81.1 | 91.7 | 69.9 | 62.8 | 305.5 | 31.3 | 141.4 | 172.7 |
Tonnes of molybdenum produced** | 11.3 | 10.4 | 11.0 | 3.3 | 36.0 | 6.5 | 14.1 | 20.6 |
Tonnes of nickel produced*** | 25.1 | 32.2 | 26.9 | 19.8 | 104.0 | 9.7 | 50.8 | 60.5 |
* as ammonium metavanadate
** as ferro-molybdenum
*** as nickel concentrate
It is the Company’s intention to update shareholders on production on a quarterly basis.
Commenting on the production results, Nick Bridgen, CEO of Ferro-Alloy Resources said:
“I am delighted to report that the plant modifications are now complete and operating efficiently, as demonstrated by our Q2 production figures. Crucially, we now recover the maximum of all the valuable components of the raw materials meaning a great deal more value is extracted from each tonne treated and no tailings or other residues remain on site.
With the plant now operating in steady-state and additional concentrate supply contracts in place going into the second half of the year, we expect production to continue on this upward trajectory.”