Fenix Resources Limited

John Wellborn soon. But before I introduce him, just a bit of housekeeping. This webinar is being held using Automix online marketing platform, which lets shareholders participate as well as ask questions. So you can submit them at any time. Just press on the Q&A icon at the bottom right of your screen. That will open a new screen. And at the bottom of that screen, there's a section where you can type your question. And can I just please ask, if you do ask a question, can you start by typing your shareholding SRN or HIN? and that just lets the moderator identify you as a shareholder. And once you've finished typing, just hit enter on your keyboard to send. As I said, you can submit questions at any time, but we won't get to them until after John has had his say. And if we do get multiple questions on the one topic, obviously we won't ask them all. And if we run out of time and don't get to your question, they will be answered in due course via email or posting responses on the website. But for now, it is time to get started. So we'll hand over to the executive chairman of Fenix, Mr. John Wellborn. John, over to you.

Thanks very much, Mick, and welcome everyone to this another record quarterly for Fenix. And it just continues to be a really exciting time. It's great to get the feedback this morning from being able to publish such a positive quarterly. I will talk about the game changing transaction that we announced during the quarter, which is the right to mine exclusive 30 year licence over the 290 million tonne world range iron ore project, which continues to demonstrate every day how big a game changer it is for our business. But first of all, looking at the operational performance, The numbers are told on the first page of the quarterly in big boxes. Another record shipment, 15 ships leaving Geraldton with 885,000 wet metric tonnes of high quality iron ore. And we're looking to continue that record setting agenda. Very pleased to keep our costs, our C1 cash costs at Geraldton right in the middle of our guidance of between 70 Australian dollars and 80 Australian dollars. The performance average on the September quarter was $75.70 Australian dollars. And that's obviously all of our operating costs across our mining, our haulage and our port business to get those great results. Given that our group average realised CFR landed price on that production was just under $150 Australian dollars, actually $147.60 per dry metric tonne. It demonstrates that we're making a great margin in the current iron ore price environment. Today, the iron ore price remains well above US$100 a tonne. It's actually US$106 a tonne. It's a great time to be an iron ore miner and particularly an iron ore miner with an expanding production profile, opportunities to continue to bring down our costs and a very, very expansive growth program. The quarter saw us commission our third iron ore mine on time and on budget. That was the Beban W11 mine. That is the keyhole that has unlocked the World Range Project. We initially had a right to mine 10 million tonnes. The success of our development project and production has given our partner, Bowsteel, the world's largest steelmaker, confidence to expand our partnership significantly with the World Range Project. We increased our cash balance over the quarter just marginally to just under $58 million Australian dollars in the bank at the end of September. That's a very impressive performance given that we wrote out a check to $20 million as part of the world range acquisition, the first payment. We paid just under $8 million to our dividends, to our shareholders in a fully franked final dividend for FY25. And we completed the capex spend on Beaven W11 and other projects. And so a very, very strong operational cash result of more than $40 million allowed us to build cash in a quarter where we had significant expenses. Obviously the operating performance allowed us to confirm our guidance for the current financial year, which is to produce four to 4.4 million tonnes and maintain those costs C1 FOB Geraldton between 70 and $80. Obviously 885,000 tonne quarter is a record, but to get to our guidance and we maintain it and we're confident Given that we commissioned W11 towards the end of the quarter, we're really at a full boat rate at the moment. So December, we're aiming for a million tonne of water, another record that will demonstrate that we're on track for that positive FY26 performance. Breaking down the numbers a little bit, Iron Ridge continues to be an incredibly consistent mine making. You can see the mine behind us. Six shipments total just over 350,000 tonnes from that mine. Shine, again, our second iron ore mine, steady state, seven high-grade shipments, totaling 414,000 tonnes. And Beacon W11 is made in shipment and the grade is performing really well. Record 15 shipments, logistics team hauled 932,000 tonnes, lots of expansion there. If you're in the Midwest, you'll be seeing our bright blue new haul trucks that Craig and his team were running so effectively for the Fenix machine. The growth strategy is hugely significant. I'm sure we'll get some questions on that. The world range project gives us control over the largest production iron ore resource of high-grade hematite not currently controlled by the majors. We have existing production. We've started and are progressing, Goran Seat and his expanding study team, a feasibility study on a 10 million tonne a year project. So there are two things going on at Fenix. The first one and the most important is we're continuing our high-margin production and looking to expand that over FY26, FY27 and FY28. And then the feasibility study on a 10 million tonne a year project, inflation volume, bringing down costs. We're working on defining that. And the feasibility study will obviously guide the timeline. But our current intention is that that is an ambition for FY29. So highly profitable production demonstrated by the September quarter. continued expansion, a near-term focus and a long-term growth strategy that will make us a major iron ore producer in Western Australia. Mick, that's a good summary of the quarter and I look forward to some questions.

Yeah, great. Thanks, John. And look, that sounds like an exceptionally positive quarter for Fenix. So well done to everyone. You're right, we do have a lot of questions from investors and participants, so we'll get into them. Firstly, from some of the analysts who do cover Fenix, Michael Bentley from MST. He's got a series of questions. So if you can just quickly touch on each of those as we go through them. He kicks off saying, can you provide an update on how you are progressing with the approvals process for the production expansion at WorldRange?