Despite global macroeconomic uncertainty, Iluka had a strong start to 2024, including $606 million in revenue from Mineral Sands operations.
The company recorded a Mineral Sands earnings before interest, taxes, depreciation and amortisation margin of 42 per cent, calling the product pricing “relatively stable”.
“Iluka has maintained operational and market discipline,” Iluka managing director Tom O’Leary said.
“Our ability and willingness to hold inventory enables us to prioritise the true value of the company’s products in an evolving marketplace.
“There is growing optimism for the pigment industry in 2025.”
O’Leary said Iluka has been strengthened by its willingness to invest in capital developments, citing the company’s Balranald critical minerals project in New South Wales and Eneabba rare earths project in Western Australia.
“Balranald is on track for commissioning in the second half of 2025 and will produce material volumes of high quality zircon and rutile, as well as feedstocks for synthetic rutile and rare earths production,” he said.
“At Eneabba, we have struck a prudent balance of progressing critical path works while funding arrangements with our strategic partner, the Australian Government, are being concluded.
“Continuation of the Eneabba development is contingent on risk sharing with the Australian Government. Illuka will provide an update on the company’s rare earths business in the second half of 2024.
“The capital estimate for Eneabba has been confirmed at $1.7–1.8 billion.”
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