Atlas December 2011 Quarterly Activities Report
Sydney, Jan 25, 2012 AEST (ABN Newswire) - "This has been a robust performance from Atlas in the face of some difficult conditions outside its control. The team have delivered close to our production targets within cost guidance.
Further, the sales of two of our magnetite projects have been agreed, we have completed 60,000 metres of drilling, continued the Wodgina expansion project and advanced delivery of our Abydos and Mt Dove DSO projects," commented Atlas Managing Director, David Flanagan.
Highlights for the December Quarter include:
- 1.39Mt (WMT) shipped during the December 2011 quarter taking Atlas' shipments for the December 2011 half year to 2.85Mt (WMT)
- Atlas achieved an average price per tonne for its 57.5% Fe product of ~ USD 120/t CFR (DMT) for the December 2011 quarter
- Cash operating costs (FOB, excluding royalties) remain consistent with guidance of AU$42- 45/t range for the 2012 financial year
- AU$380 million cash on hand at 31 December 2011
- Wodgina expansion on target for completion in the June 2012 quarter
- Horizon 1 Strategy feasibility studies (inclusive of rail analysis) are expected to be completed by 31 March 2012
- Agreements signed to sell the Balla Balla and Yerecoin magnetite projects
- Ex-Ernst & Young Perth managing partner, Jeff Dowling, appointed as an independent non-executive director and appointed as chairman of the Audit and Risk Committee
- Subsequent to the quarter end, adverse weather conditions arising from Tropical Cyclone Heidi, including heavy rain in the Pilbara and damage to the Utah ship loading facility, has disrupted mining, haulage and shipping in January 2012. Consequently, Atlas now expects to ship approximately 5.5 to 5.7Mt (wet) for the 2012 financial year (6Mt target).
Full Quarterly Activity Report here:
http://media.abnnewswire.net/media/en/docs/ASX-AGO-575066.pdf
About Atlas Iron Limited
Atlas Iron Limited (ASX:AGO) is an independent Australian iron ore company, mining and exporting Direct Shipping Ore (DSO) from its operations in the Northern Pilbara region of Western Australia. Since listing on the ASX in late 2004, Atlas has grown rapidly and is now a member of the ASX100 index.
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