Elemental Royalties Limited, (“Elemental”), a private company expanding a diversified portfolio of mineral royalties, is pleased to comment on the recent announcement made by Base Resources Limited (“Base”) of that company’s Q4 2018 activities report. Base is the operator of the Kwale mineral sands project located in Kenya, on which Elemental Royalties holds a 0.25% GRR royalty.

Elemental is pleased to note the positive Q4 2018 report from Base, where the main focus at Kwale was maximising mineral recoveries under a high tonnage, low grade regime. Mining in the Central Dune continued to achieve higher than expected rates although mined ore grades were lower than previous quarters. Elemental notes that operating costs were marginally higher than the previous quarter, due to higher tonnes mined, which, when combined with a decrease in overall production volumes, resulted in a higher unit operating cost of US$115 per tonne produced (rutile, ilmenite and zircon) compared to the Q3 2018 value of US$103 per tonne.

• Mined tonnes increased a further 5% to 5.0Mt, helping to offset lower ore grade
• Continued strengthening of rutile and zircon prices in the quarter with ilmenite prices remaining stable
• FY19 production guidance revised, primarily due to ore characteristics being encountered in the remnants of the Central Dune orebody:
  • Rutile – 88,000 to 94,000 tonnes (previously 88,000 to 93,000 tonnes).
  • Ilmenite – 385,000 to 415,000 tonnes (previously 420,000 to 450,000 tonnes).
  • Zircon – 31,000 to 34,000 tonnes (previously 32,000 to 37,000 tonnes).

The text above is Elemental Royalties’ comment to the operator’s news release and is not included within the original release. The original article is available using the links below.

Original Article: 
http://www.baseresources.com.au/investor-centre/asx-releases/

Download PDF:
http://www.baseresources.com.au/download/596/

About Elemental Royalties Limited

Elemental is a private company providing investors with exposure to a dividend-paying royalty company building a diverse portfolio of mining royalties, benefiting from ongoing royalty revenue, future exploration upside and low operating costs.

Since early 2017 Elemental has assembled a portfolio of five royalties over seven commodities in four countries, four of which cover producing mines. Immediate cash-flow has enabled the Company to limit dilutive fund-raisings to facilitate royalty acquisitions, and to pay a dividend from inception.

Elemental’s focus remains on securing royalties over advanced assets with established operators and credible counter-parties from a robust pipeline of potential royalty acquisitions across commodities and geographies.

For further information you are invited to visit the Company’s website www.elementalroyalties.com or contact:

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