BMS has been booming from there results update from the start of this month
BASIN MINERALS LIMITED 2002-04-30 ASX-SIGNAL-G
HOMEX - Perth
+++++++++++++++++++++++++ HIGHLIGHTS
* Stage One Douglas Mineral Sands Project continues to run on schedule to commence initial production of 300,000 to 350,000 tonnes of mineral sands products late 2003.
- Excellent results from both wet and dry plant metallurgical studies. Of importance was the recognition that the majority of the leucoxene is high grade, 91% to 94% TiO2 which will report to rutile product in the dry mill circuit. This means high value rutile production will more than double to up to 70,000 tonnes per annum.
- Results of the late December 2001 quarter drilling programme on the Stage One Mining Area resources for mine planning has led to an upward reclassification of all resources and a first mining reserve statement.
- Public Panel hearings on the Environmental Effects Statement ("EES") confirmed that all project environmental and social concerns pertaining to the project have been adequately identified and addressed. The Company is now confident that in early June 2002 the Minister of Planning will recommend to the Minister for Resources and Energy that Stage One be approved.
- Mining Licence application for a 25 year period (MIN 5367) was lodged post quarter over the 5,195 hectare Stage One area. Licence grant is expected by the end of May 2002.
- Mine water entitlement of up to 7 gigalitres per annum was secured from Wimmera Mallee Water.
- Mineral Separation Plant ("MSP") site selection for processing mine concentrates to final mineral products and for a future synthetic rutile plant was concluded after a comprehensive study of a number of locations. The location, 6 kilometres south of Hamilton, has excellent infrastructure.
- Marketing continued with fruitful ongoing discussions with North American and European based consumers. Long term contracts for the sale of the majority of the mineral products should be concluded by end of June 2002 quarter.
- Various project financing avenues are being investigated, particularly with SG Australia Ltd the wholly owned subsidiary of major European banking group Societe Generale. The optimum project financing route will be finalised by the end of June 2002 quarter.
* Exploration
- Revised Inferred Resource estimates for Yabbie and Shamrock strandlines in the Pooncarie Project of 8.8 million tonnes of mineral concentrate.