Shares in Iluka, the country’s largest beach sands miner reversed Monday’s fall to end yesterday’s session up 1.6% at $11.29 after a solid June quarter and half year production and sales report.
In fact the report revealed that surging cash flows from higher prices enabled beach sands miner, Iluka to take an axe to debt.
The company told the ASX in that it had cut net debt from $183 million at the end of 2017 to just $24 million at June 30.
That was after revenue from zircon, rutile and synthetic rutile jumped 21% to $607 million in the first half of 2018, despite a 3% dip in sales volume.
The company says positive mineral sands market conditions contributed to realisation of strong price increases.
The company says the higher prices for its products saw results strong free cash flow in the first half of $226 million.
The lower debt was after the payment of $69 million for the final dividend for 2017.
First half zircon price (excluding concentrate) rose 47% from first half 2017, the first half rutile price was up 20% from first half of 2017 and Iluka says that second half 2018 rutile price increase os up 14%.
