22nd May 2025 13:39
(Alliance News) - Ironveld PLC on Thursday said demand for its material has exceeded expectations as it looks to transition into a revenue generative, positive cash flow business.
The South Africa-focused iron ore miner reported operational progress in an update on Thursday, stating that construction of the first phase of the dense media separation plant is complete, with the plant now commissioned.
It added that production ramp-up from stockpiled material is also underway.
Irvonveld also said that a heads of agreement regarding a joint venture with Sable Exploration & Mining Ltd subsidiary, Sable Platinum Pty Ltd, has been concluded, with finalisation anticipated in the coming weeks.
With regard to it mining operations, Ironveld said that potential offtake partner discussions are advancing. It noted "strong interest" from multiple parties that are targeting the export markets.
Ironveld shares were up 52% to 0.057 pence on Thursday afternoon in London. The stock remains down 19% over the past 12 months.
Chief Executive Kris Andersson said: "I am very pleased with the progress being made on the ground. We are now entering a pivotal phase as we transition into revenue generation, with sales of our DMS-grade magnetite, under the existing offtake agreement with Sable Platinum Pty, expected to commence shortly.
"Encouragingly, demand for our material has exceeded expectations, with new enquiries and requests for product coming in on a consistent basis...The emerging opportunity to sell ore directly adds an exciting dimension to our revenue streams and further reinforces the international demand for vanadium, titanium, and iron.
"Over the coming months, we anticipate a fundamental shift in Ironveld's trajectory, from a development-stage company to a fully operational, revenue-generating business with positive cash flow."
By Christopher Ward, Alliance News reporter
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