Image celebrates Atlas’s successful debut

Image Resources (ASX: IMA) has reported a successful Q4 FY25 for its flagship Atlas mineral sands project in WA.

During Q4, the project generated positive cashflow of $5m and produced 45,900dmt of heavy mineral concentrate (HMC) from 674,000t of ore processed with shipments totalling 35,359dmt — exceeding forecasts of 30,000-35,000dmt.

The company recorded revenue of $22.2m, averaging $624/t, with operating costs totalling $17.1m, averaging $396/t.

Image Resources chief executive Patrick Mutz says achieving positive operating cash flow in Atlas’ first quarter of operations gives the team renewed confidence for a strong second half of the year.

“Our development team is now focussing on our pipeline of potential development projects to expand our mine development options,” he said.

The company maintained its 2025 guidance, forecasting 175,000–195,000dmt HMC production and 165,000–185,000dmt HMC shipped, at a cash cost of $340–400/t and all in sustaining cost (AISC) of $410–470/t.

Image Resources closed Q4 with a cash position of $10.7m and is anticipating Atlas’s sealed road access to improve logistics and reduce trucking costs, supporting two planned July shipments of 23,000t.

The company is also assessing the development opportunities within its Eneabba tenements portfolio, with initial focus on the Yandanooka project as the next development.

Additional exploration drilling at Image Resource’s Erayinia and King gold tenements were also completed in Q4 and the company is awaiting assay results.