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  • Strike Resources (SRK) has mined 20,000 tonnes of high-grade direct shipping ore from its wholly owned Apurimac Iron Ore Project in Peru
  • The company started mining surface deposits in late December 2020, with the ore now stockpiled locally for crushing and screening
  • Over 6000 tonnes of material have been crushed to date
  • Strike is targeting annualised production of around 125,000 tonnes of iron ore from Apurimac
  • To achieve its aim, the miner is ramping up operations to increase crushing capacity to 1000 tonnes per day
  • Strike Resources shares are in the grey, last trading at 21 cents each

Strike Resources (SRK) has mined 20,000 tonnes of high-grade direct shipping ore from its wholly owned Apurimac Iron Ore Project in Peru.

According to SRK, Apurimac is recognised as one of the highest-grade, large-scale magnetite preheats in the world with the potential to support the establishment of a significant iron ore operation.

The company started mining surface deposits at the site in late December 2020, with ore now stockpiled locally for crushing and screening.

More than 6000 tonnes of material have been crushed to date.

The miner is targeting annualised production of around 125,000 tonnes of iron ore at Apurimac and says, once its operations are steady, there will be potential to significantly expand production through ore from multiple sites within the project.

Strike Resources Managing Director William Johnson said current market conditions, including a strong iron ore price and high lump premium, have provided an opportunity to generate valuable cashflow from the project.

“Our local Peruvian team on site has done a tremendous job in marshalling local communities, miners and contractors together,” William commented.

“Strike looks forward to replicating this operation several times across different deposits and community groups so we can progressively ramp up production whilst providing sustainable economic employment opportunities for local community members,” he added.

Strike is now ramping up operations to increase throughput via mining operations and has engaged a second crushing and screening plant to increase its crushing capacity to 1000 tonnes per day.

Once it has crushed approximately 20,000 tonnes of material, SRK plans to progressively transport its premium lump day-sales-outstanding product to a stockpile at Peru’s Port of Pisco, using locally sourced trucks.

The company is aiming to produce a high-grade product of 64 to 65 per cent iron with low impurities.

So far, production costings have been completed with an anticipated free-on-board cost at Pisco of less than US$70 per tonne (around A$90).

Strike expects its first cashflow from sales in the June quarter of 2021.

Strike Resources shares are in the grey, trading at 21 cents each at 10:12 am AEDT.

SRK by the numbers
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