Mount Gibson Iron (ASX:MGX) reported today that high grade (65% Fe) iron ore shipments from its Koolan Island operation have steadily increased since the start of the current June quarter. As such, the company said it is on track to achieve and potentially surpass its recent shipping guidance for the 2022/23 financial year.
The company traded up 23% to 48 cents a share.
Mining performance at Koolan Island has progressed in line with plan following the end of the Kimberley wet season in April, noted Mount Gibson. High grade iron ore extraction from the Main Pit during April and May totalled 0.7 million wet metric tonnes (Mwmt), and mined ore stockpiles totalled 1.1 Mwmt at the end of May.
"Processing volumes have increased substantially since the start of the quarter following completion of the processing plant repairs in early April. As a result, shipments of high grade 65% Fe fines products have increased in line with the forecast provided in the Company’s March quarter activities report," wrote the company in a news release.
