Agata Mining Ventures Inc (AMVI) completed four shipments of nickel ore in the month of July for gross proceeds of US$3.29 million from the Agata Nickel Laterite Project in northern Mindanao, the Philippines.
AMVI is a joint venture company in which TVI Pacific's Philippine affiliate, TVI Resource Development (Phils) (TVIRD), holds a 60% interest and is the operator, and Mindoro Resources holds 40%.
The four shipments completed in July included three high iron/low nickel limonite ore shipments and one higher nickel grade saprolite ore shipment, representing the 15th through 18th shipments completed by AMVI since operations commenced in October 2014.
AMVI’s shipment plans continue to adapt to depressed and volatile prices in the Philippine nickel laterite ore market. Market prices for limonite ore containing 0.6% to 0.9% nickel and 49% iron content have fallen from an average of $22 per tonne in the earlier part of 2014 to $13 per tonne when operations commenced in October 2014 and down to $11 in recent months.
For saprolite ore containing more than 1.5% nickel and 15% to 20% iron, prices have fallen from over $100 per tonne in early 2014 to $27 per tonne in recent weeks.
In response, AMVI continues to explore and implement opportunities in its operational plans, mining activities and marketing strategies to increase cost efficiencies and to help ensure continual demand for its products.
Currently, AMVI is planning to complete approximately three to five shipments of nickel laterite ore in each coming month, subject primarily to weather conditions.
“As the operator, TVIRD has put in a tremendous amount of effort to ensure that the Agata nickel laterite operations remain viable and to align its mining activities with today’s market conditions,” says TVI chairman and CEO Clifford James.
“We continue to be optimistic that the Agata operations, along with developments at other TVIRD projects, will support TVIRD in seeking a listing on the Philippine Stock Exchange later this year and provide TVI with a significant potential source of funding for new projects.”
The 15th shipment totalled 50,117 wmt containing 0.89% nickel and 48.19% iron. It was completed on July 3 and AMVI expects to receive gross revenue of US$485,000 for the shipment. The 16th shipment totalled 56,911 wmt containing 0.91% nickel and 48.61% iron. It was completed on July 12 and AMVI expects to receive gross revenue of US$604,000. The 17th shipment totalled 60,000 wmt containing 0.93% nickel and 48.23% iron. It was completed on July 17 and AMVI expects to receive gross revenue of US$584,000. These three shipments were all limonite ore.
The 18th shipment totalled 56,826 wmt of saprolite ore containing 1.45% nickel and 21.01% iron. It was completed on July 20 and AMVI expects to receive gross revenue of US$1.62 million.