Update on Tormin Mine water storage dam damage

Mineral Commodities Ltd (ASX: $MRC) has provided an update on the damage to a water storage dam at the Tormin Mine in South Africa, which is held by the Company's 50% owned subsidiary, Mineral Sands Resources (Pty) Ltd. The incident, reported on 22nd March 2024, resulted in damage to the liner of the main sea-water storage dam, impacting production due to limited water supply.

Executive Commentary on Production Impact and Recovery

The first quarter of 2024 has been very challenging and disappointing with production impacted initially by mobile equipment failure and subsequently by the dam damage. However, the Tormin team has taken positive steps to address these issues and will make every effort to achieve sustained improved performance in Q2 and for the remainder of 2024.

Summary of Tormin Mine Dam Damage and Recovery Plan

The damage to the water storage dam at the Tormin Mine in South Africa has impacted the production plants, resulting in lost production days for various operations. However, the Company has taken immediate actions to mitigate risks and allow for limited production to resume. The repair of the damaged dam liner and other ancillary work recommended by specialists is anticipated to be completed by 15th April 2024, allowing for the return to full production levels. Mineral Commodities Ltd aims to achieve sustained improved performance in the upcoming quarters and for the remainder of 2024, despite the challenges faced in the first quarter.