Strategic Minerals (LON:SML) saw iron ore revenues pick up sharply in the three months to June.
The group operates a magnetite tailings operation at Cobre in New Mexico and income rose to US$327,000 (US$170,000) with tonnage shipped almost doubling to 4,839.
For the 12 months to June, revenues rose to US$1.32mln from US$887,000.
Strategic added there was also potential to raise sales at Cobre ‘significantly’.
“Underlying sales are on the rise in Cobre with a new large client commencing shipments in August.
“Should other sales remain unaffected, and the new client maintains their expected demand, sales volumes could significantly increase in the coming year,” it said.
Elsewhere, Strategic added it is analysing results from drilling at nickel deposit Hanns Camp being explored by partner CARE.
Over the quarter it also took out an option over a tin and tungsten project in Cornwall [Redmoor].
Cash at the end of June amounted to US$0.84mln.
John Peters, Strategic’s managing director, said cash flow from Cobre underpinned operations while recent activity suggested significant sales volume growth.
“Over the next quarter, management and the board intend to focus on securing additional sales in Cobre, looking to extend, if possible, the formal access period to the Cobre magnetite stockpile, work on securing funding of the Redmoor option and develop plans for exploration of the CARE tenements," he said.