Key highlights of Image Resources NL activities for Q1 2024

Image Resources NL (ASX: $IMA) reported a cash position of $38.8 million at the end of the quarter ended 31 March 2024. The company primarily focused on permitting and construction planning for the Atlas project and advancing feasibility studies on Yandanooka, Bidaminna, and a mineral separation plant. The completion of mining and processing activities at Boonanarring and the final shipment of HMC in Q4 2023 allowed the company to shift its focus to other projects during the March 2024 quarter.

Executive commentary on Yandanooka project and corporate strategy

It is pleasing to see the robust economics for the Yandanooka deposit based on producing and selling an HMC product. This suggests potential future additions of mineral separation and conversion of ilmenite to synthetic rutile ('SR') will likely magnify profitability provided Image's proposed novel SR production technology is demonstrated to be viable. Consequently, Yandanooka is now a credible backup for our Atlas project development in the event there are any further delays with Atlas or will follow on the heels of Atlas as a second operating centre, in line with Image's Chapter 2 ambitions of multiple mines, multiple products, and global marketing.

Summary of Q1 2024 activities and outlook

During the quarter, Image Resources NL made significant progress in advancing the Atlas project and Yandanooka pre-feasibility study. The company's cash position at the end of the quarter was $38.8 million. With the completion of mining and processing activities at Boonanarring, the company shifted its focus to permitting and construction planning for the Atlas project and advancing feasibility studies on Yandanooka, Bidaminna, and a mineral separation plant. The Yandanooka pre-feasibility study yielded positive results, leading the company to proceed directly to a bankable feasibility study. Image Resources NL remains committed to its Chapter 2 ambitions of multiple mines, multiple products, and global marketing. The company's outlook includes the anticipation of Ministerial approval and finalization of secondary approvals and management plans for the Atlas project late Q2 2024 before proceeding with project construction in Q3 2024. Additionally, the company is fast-tracking feasibility studies for its Yandanooka mineral sands project, which has a shorter development timeline than other projects in its portfolio due to lower-level environmental sensitivities and minimal heritage considerations.