Image Resources Set to Begin Construction of Atlas Project
IMAGE RESOURCES NL (IMA) Share Update August 2024 Thursday 8th
Image Resources Receives Final Approvals for Atlas Project Construction
Image Resources NL (ASX: IMA) has announced that it has received the final approvals needed to start construction on its Atlas mineral sands project, located approximately 170km north of Perth in the North Perth Basin.
Instant Summary:
- Final approvals received for Atlas project construction.
- Project located 170km north of Perth in the North Perth Basin.
- Approval received from Commonwealth under EPBC Act and EPA.
- Groundwater operating strategy (GOS) approval pending.
- Construction to start the week of 12 August 2024.
Project Approval Details
On 6 August 2024, Image Resources received the final approval for the Atlas project development from the Commonwealth under the EPBC Act and the Offset Environmental Management Plan from the EPA. Additionally, on 8 August 2024, the company received approval for the Banksia Woodlands Rehabilitation Environmental Management Plan from the EPA.
The only outstanding approval required for the Atlas project to proceed to full mine development is the groundwater operating strategy (GOS), which is necessary for DWER’s approval of a 5C water abstraction licence and mine dewatering licence. However, the approval of the GOS does not prevent the commencement of on-ground construction of the processing plant and related infrastructure, nor the removal of mine topsoil and overburden above the water table. Approval of the GOS is anticipated in the coming weeks.
Construction Plans
Managing Director and CEO Mr. Patrick Mutz commented that the receipt of these penultimate approvals serves as the trigger for the mobilisation of contractors and equipment to the Atlas site starting the week of 12 August 2024. Early construction works on the Atlas mining camp are more than 50% complete, and deconstruction of the relevant sections of the Boonanarring wet concentration plant for relocation to Atlas is well underway.
Mr. Mutz also expressed gratitude to the various regulatory agency representatives and Image’s permitting and development teams for their efforts in mitigating further adverse impacts from permitting delays. He looks forward to a rapid, streamlined, and efficient construction and commissioning effort.
The commencement of construction at the Atlas project is a significant milestone for Image Resources. This development is likely to positively impact the company's stock price as it demonstrates progress and potential for future revenue generation. Investors may view this as a positive step towards the company's growth and operational expansion.
Investor Reaction:
Analysts are likely to react positively to this news, given the importance of the Atlas project in Image Resources' portfolio. The receipt of final approvals and the imminent start of construction may boost investor confidence and lead to an uptick in stock price. However, the pending approval of the GOS remains a factor to watch.
Conclusion:
Investors should keep an eye on the progress of the Atlas project construction and the pending approval of the GOS. The successful completion of these steps will be crucial for Image Resources' future growth and profitability. Stay tuned for further updates as the project progresses.