Strategic Minerals saw doubled revenues at its Cobre tailings operation in New Mexico in its latest quarter as two new contracts came on stream.
March quarter sales were US$841,000 or 100% more than a year ago putting the group on track for yearly revenues of more than US$3.5 million.
Iron ore volumes sold jumped to 12,393 tons or more than two and half times year on year as its major client restarted orders and a new customer came on board.
Strategic Minerals said volumes were 27% above the comparable quarter in 2022 when its major client had not stopped taking supplies temporarily.
For the full year, Cobre should see sales volumes above 50,000 tons (17,965 tons in 2023) with revenues expected to exceed US $3.5 million (US $1.6m in 2023).
A further A$50,000 of short-term funding with warrants has been arranged to help with working capital while it ramps up production,
John Peters, SML's managing director, said: "The quarter's sales have confirmed our expectations for a strong performance at Cobre in 2024 and a likely annual result exceeding US $3.5m.
"The team at our New Mexico, USA operations have managed the resurgence in demand and rebuilt the team after having to contract operations during the 2023 downturn.
“New, fully externally funded, equipment has assisted to ensure smooth operation during inclement weather.
"Management remains focused on short-term cash flow and believes that the company remains committed to avoiding the need for a dilutive capital raise, which the board and management, currently, considers will be unnecessary.
“With after-tax cash flow in 2024 being applied to normalising creditor balances, built up during the sales downturn in 2023, the company expects 2025 will see after-tax balances accruing."