Cobre Access Extended and New Purchase Order

Strategic Minerals PLC

28 November 2024

 

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the European Union (Withdrawal) Act 2018.

28 November 2024

Strategic Minerals plc

("Strategic Minerals", "SML" or the "Company")

Cobre Access Extended Until 31 March 2029 and new 2025 Purchase Order

Strategic Minerals plc (AIM: SML; USOTC: SMCDY), a producing minerals company, is pleased to announce the extension of its access to the Cobre magnetite stockpile in New Mexico from 31 March 2027 to 31 March 2029 and a new significant purchase order for 2025.

From 2017, Strategic Minerals has repeatedly extended access to the magnetite stockpile at Cobre, New Mexico, through its wholly owned subsidiary Southern Minerals Group ("SMG"), providing a long-term revenue stream for the Company.

The latest extension demonstrates the continued high-level of operational performance maintained by the SMG team on the ground and will allow SML to explore opportunities to optimise revenues and cash flow going forward.

The timing of the extension also coincides with the receipt of a new purchase order for 2025 of up to 30,000 tonnes from one of SMG's major clients, which contributes substantially to the forward-looking revenue profile.

Sales at Cobre continue to perform well with management confident of exceeding full year sales of US$4.5m. Further details will be provided in the Company's next quarterly update scheduled for Q1 2025.

Commenting, Mark Burnett, Executive Director of Strategic Minerals, said:

"The extension of access at Cobre to 31 March 2029 is a huge achievement by the excellent SMG team on the ground. Combined with a significant new purchase order, this should underpin the revenue profile for SML into 2025 and beyond and provide scope to expand operations across the portfolio of SML assets."

For further information, please contact:
Strategic Minerals plc		[phone]
Mark Burnett
Executive Director
Website:	www.strategicminerals.net
Email:	[e-mail]
Follow Strategic Minerals on:
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SP Angel Corporate Finance LLP		[phone]
Nominated Adviser and Broker
Matthew Johnson Charlie Bouverat Grant Barker

Notes to Editors

Strategic Minerals plc is an AIM-quoted, producing minerals company, actively developing strategic projects in the UK, United States and Australia.

In September 2011, Strategic Minerals acquired the distribution rights to the Cobre magnetite project in New Mexico, USA, through its wholly owned subsidiary Southern Minerals Group. Cobre has been in production since 2012 and continues to provide a sustainable revenue stream for the Company.

 

END