Qube wins 10-year mineral sands haulage contract

Strandline Resources is executing a longterm haulage and logistics services agreement with Qube Bulk which involves running triple road trains 24/7.

Scope of works include a turn-key logistics solution from mine-to-ship covering haulage fleet, product storage facilities at Geraldton and coordinating ship loading activities.

As part of the deal, Qube is expected to: load product at Coburn mine site into Qube-owned triple road trains on a continuous 24/7 basis; transport of ilmenite and zircon concentrate products to Qube’s existing Berth 4 storage facility at the Port of Geraldton ready for direct loading to ship; transport of zircon and rutile products to purpose-built storage facility at Narngulu, ready for campaign loading at Berth 4, Port of Geraldton; coordinate product deliveries for ship loading at the port to meet Strandline’s customer requirements.

Qube is reported to be preparing its Narngulu storage facility and existing Berth 4 port storage facility and trucking fleet to be ready for first cargo later next year.

With the strong construction progress achieved to date at Coburn, Strandline remains on track to achieve first production of heavy mineral concentrate (HMC) in the December quarter, 2022.

Strandline Managing Director, Luke Graham, said the execution of this key product logistics contract marked another crucial step in the company’s strategy to become a leading high‐margin producer of critical minerals.

“We are delighted to establish this long‐term relationship with Qube, a leading logistics provider across Australia and a well‐established operator in the mid‐west region of WA.

“Securing the strategic storage at port berth‐side for most of Coburn’s product volume is a significant advantage, resulting in extra flexibility and cost efficiencies.

“This agreement, when combined with the previously announced operational contracts, including for the contract mining services, supply of electricity, LNG, fuel and facilities management on site, means Strandline has already locked‐in ~65 per cent of its forecast operating costs in line with the assumptions contained in the Coburn DFS,” said Graham.

“We are delighted about our new partnership with Strandline and being able to release further value to customers and the Port of Geraldton through our ongoing investment in the region,” said Qube Bulk Director, Todd Emmert.

“The Coburn project is an exciting prospect that will deliver long term benefits to all stakeholders involved.”