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The Markets
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by Proactive
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Fenix Resources confident of solid second half of year due to robust hedging offtake strategy

Fenix Resources confident of solid second half of year due to robust hedging offtake strategy

Fenix Resources Ltd (ASX:FEX)’s Rob Brierly discusses the company’s offtake strategy with Proactive’s Joel Flynn as the iron ore producer weathers the recent turbulence in ore pricing, securing solid hedge deals for future production in order to avoid short-term volatility.

At Iron Ridge, the company has also received better than expected grades, with desirable lump-to-fines ratios. The project – which required only $15 million in capital expenditure to advance to production – is configured in a relatively simple way with straight-forward crushing and screening, with only a $90 per dry metric tonne operating cost attached.

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