Apr. 17, 2025 - Iluka Resources delivered an increase in zircon-in-concentrate (ZIC) during the March 2025 quarter, among other operational highlights.

The rare earths producer’s overall production for the period was 131,000 tonnes (t), a slightly larger amount from the previous quarter. The total comprised 35,000t of zircon sand, 18,000t ZIC and 55,000t of synthetic rutile.

Iluka sold 116,000t of zircon/rutile/synthetic during the quarter, which included 48,000t of zircon sand (premium and standard grade), a 116 per cent increase on the prior quarter.

To date, Iluka has contracted approximately 46,000t of zircon sand sales and 32,000t of ZIC sales for the June 2025 quarter.

“The Jacinth-Ambrosia mine in South Australia produced 66,000t of heavy mineral concentrate (HMC), marginally higher than the 64,000t produced in Q4 (the December 2024 quarter),” Iluka said.

“In Western Australia, the Cataby mine produced 184,000t of HMC, up from 128,000t in Q4 with higher ore volumes treated, ore grade and recovery. HMC processed in Q1 (the March 2025 quarter) was 205,000t.

Iluka’s Eneabba monazite pit at Eneabba, WA. 

“The Narngulu mineral separation plant (in WA) processed 116,000t of HMC, a mix of Jacinth-Ambrosia and Cataby material, producing a total of 53,000t of zircon (including ZIC) and 22,000t of rutile.

“(The) SR2 (kiln) produced 55,000t of synthetic rutile, with the kiln running at full capacity.”

Exploration was also a highlight for Iluka, with the company drilling 2906m at the Cataby mining operation in WA for resource evaluation. The spend totalled $3.2 million.

With the US recently imposing tariffs on Australia, Iluka noted the “heightened uncertainty” of the recent moves.

While its titanium dioxide feedstocks, including rutile and synthetic rutile, and light and heavy magnet rare earths are exempt, Iluka said its zircon is not.

“All of Iluka’s production takes place in Australia, which is currently the subject of a 10 per cent blanket tariff for exports to the US,” Iluka said.

“Rare earths, including light (neodymium and praseodymium) and heavy (dysprosium and terbium) magnet rare earths, are exempt from the tariffs announced by the United States. However, on April 4, the Chinese Government added medium and heavy rare earths, including dysprosium and terbium, to China’s export control list.

“This means that exporters to all markets globally now need a licence and must report to the Chinese Government on where these products are going.”

Looking ahead, Iluka’s Eneabba rare earths refinery in WA is expected to conclude detailed earthworks in the first half of 2025 (H1 2025), with concrete works currently underway.

The facility will produce separated light and heavy rare earth oxides, including dysprosium and terbium. Iluka said “it will be the only material Western world producer of heavy rare earth oxides”.

Construction is also progressing at the Balranald resource development site in New South Wales, with the project on track for commissioning in H2 2025.

Iluka is expected to commence detailed engineering at the Wimmera resource development in Q2 2025, with the company currently progressing the project’s definitive feasibility study.