Strategic Minerals Plc (LON:SML) has set a new record for iron ore sales from its New Mexico tailings business.
Its subsidiary, SMG, sold US$999,000 (13,897 tons) worth of magnetite from the Cobre operation in August against US$487,000 (7,206 tons) in July.
In addition to volumes significantly increasing, the average sales price also improved, said Strategic. A new customer started to take 4,000t per month from July and the volumes reflect that contract kicking in.
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John Peters, managing director, said: "Credit should be given to the team at Southern Minerals Group, and Clovis Hooper [SMG’s president] in particular, for rising to the logistical challenge at Cobre of moving significant stockpiles of material by truck in order to achieve record magnetite sales.
"The performance at Cobre has placed the company in an ideal position to record an increased profit performance in 2017 and provided it the luxury of recycling the profits derived from Cobre into value adding exploration programmes at Redmoor and Hanns Camp, without diluting shareholders."