Bushveld Minerals (BMN) Shares Rose 7.74% On Q2, H123 Update

The Bushveld Minerals Limited (LON: BMN) share price rose 7.74% after releasing its operational highlights for Q2 and H1 2023, which ended on 30 June 2023. The company appointed Craig Coltman, Chief Executive Officer (CEO) and a board member, effective July 1, 2023.

Furthermore, the company mined 485 metric tonnes of nitro Vanadium (mtV) in Q2 versus 477 mtV in Q2 2022. The firm’s production was short by 200 mtV due to the 5-day unplanned Sulphate Recovery Plant (SRP) maintenance and unexpected high rainfall levels.

The company produced 1,167 mtV in H1 2023 compared to 1,226 mtV in H1 2022. The company attributed the lower production of nitro Vanadium to lower production figures in Q1 2023. The firm noted that a 7-day unplanned shutdown of the dust collectors at the refinery for maintenance purposes also contributed to the lower production.

Bushveld Minerals’ production cash costs in Q2 2023 were US$27.5/kgV, which increased from the US$24.4/kgV recorded in Q2 2022, and the US$22.8/kgV from Q1 2023. The higher costs were attributed mainly to higher raw materials and maintenance costs.

The company’s H1 2023 production cash cost of US$24.7/kgV was slightly higher than the US$23.5/kgV recorded in H1 2022. The firm lowered its 2023 production guidance from 2,700 mtV to 2,300 mtV – 2,400 mtV due to the current challenges with the barren dam levels and the SRP.

Craig Coltman, CEO of Bushveld Minerals Limited, commented: “I spent my first week as the CEO on-site at the Vametco and Vanchem plants as these are the centre of Bushveld’s operations. I have had the opportunity to meet many of our employees, and I am heartened by the warmth with which they have received me, as well as the passion and commitment they have for Bushveld Minerals.”

“In my short time at the Company, I have seen that, while there are challenges, there are also many positive signs and opportunities to get the most out of Bushveld’s most important asset, its people, and achieve the full potential within the Company’s operations. Getting maximum value out of Vametco and Vanchem is my number one priority.”

The Bushveld Minerals share price rose 7.74% to trade at 2.855p, from Friday’s closing price of 2.650p.