PYX Resources Ltd (LSE:PYX, NSX:PYX) produced 2,500 tonnes of zircon from its operations in Indonesia in the third quarter of 2022, along with a tonne of titanium dioxide materials, a total production increase, when compared to the corresponding quarter a year ago, of 129%.
"We continue to fast-track PYX's aggressive expansion strategy to cement its position as a key international supplier of premium zircon and take advantage of the strong mineral sands market,” said PYX chief executive Oliver B Hasler.
“Accordingly, the fruits of our labours are increasingly visible, with production and sales of our premium zircon reaching new heights, and further value being achieved with the titanium dioxide minerals by-products. The remainder of 2022, will, we believe, continue in the same positive vein."
In the nine months ended 30 September 2022, PYX produced 12,700 tonnes and sold 6,400 tonnes of premium zircon, rutile and ilmenite, a year-on-year (YoY) production increase of 153% and an overall 34% rise in sales.
In December 2021, PYX completed the first phase of an expansion programme, which boosted capacity at its minerals separation plant to 24,000 tonnes per year.
This enabled it to add titanium dioxide minerals, rutile and ilmenite to its sales profile, which have large, fast-growing end markets.
In particular, demand has grown for titanium metal due to its increased use in body and engine parts for aeronautics, defence applications, biomedical and sporting goods, as well as welding flux cord wire used in ship building, and steel construction.
The company achieved robust, stable prices for its products, with ongoing price increases in the first half of 2022 and a stabilisation of prices in the third quarter.
Pricing for the third quarter was up 50% when compared with the third quarter of 2021.