Image Resources NL (ASX:IMA), a mineral sands focused miner and supplier of critical minerals such as titanium dioxide, zircon, and monazite, has revised its market guidance for heavy mineral concentrate (HMC) sales for calendar year 2025. The company now anticipates sales of 150-170k dry metric tonnes (DMT), a reduction from the previous estimate of 165-185k DMT. This adjustment, made in collaboration with the company’s offtake partners, is primarily attributed to softening market demand and pricing for mineral sands commodities, compounded by concerns regarding potential port delays in the fourth quarter. All other market guidance metrics, including HMC production, cash costs, and all-in sustaining costs (AISC), remain unchanged.
Despite the adjustment to sales forecasts, Image Resources is maintaining its HMC production guidance at 175-195k DMT, with cash costs projected at A$340-400 per tonne and AISC at A$410-470 per tonne. The company is actively exploring strategies to mitigate operating costs at its Atlas project in response to the prevailing market conditions. The Atlas project commenced operations in April 2025 and reached full production capacity in the second quarter of the year.
In tandem with the revised sales guidance, Image Resources has secured an extension for the final repayment date of its Prepayment Facilities. Through a mutual agreement with its offtake partners, the repayment deadline has been extended by three months, from 31 January 2026 to 30 April 2026. According to Managing Director and CEO Patrick Mutz, this extension aligns with the adjusted HMC sales schedule and ensures acceptable cash flow for the company.
Mutz commented on the company’s proactive approach, stating, “The Company continues to look at methods to reduce operating costs at Atlas, in response to the continuing weaker mineral sands commodities market.” He also emphasized Image Resources’ commitment to working collaboratively with its partners to navigate market fluctuations, ensuring the company’s financial stability and operational efficiency.