PYX - Pyx Resources Limited (PYX.NSX) Announces Third Price Increase for Premium Zircon
Sydney, Australia (ABN Newswire) - PYX Resources Limited (NSX:PYX), the leading international premium zircon producer, announces that with immediate effect it will further increase the price of its premium zircon by US$210 to US$1,750 per tonne for July shipments. The new price marks the third increase for PYX's premium zircon this year, resulting in a US$355 per tonne increase during 2021 to date.
The latest price increase reflects the continued supply issues in South Africa and low inventory levels in China, with both triggering a general lack of premium zircon supply globally. Australian sales of Heavy Mineral Concentrate (HMC) to China have created a further void of premium zircon in the market, leading to higher customer demand and consequently, higher market prices, with Indonesian zircon prices having now reached their highest price point since 2013.
In a time of a global switch to green energy, demand for copper, lithium, nickel, cobalt, and zircon is soaring. Premium zircon, such as PYX's, is in great demand for creating fused zirconia and other products, where standard zircon cannot be used.
The continuing growing demand for green energy, the continued growth of the Chinese economy and recovery of European economies from the COVID-19 pandemic, suggest the zircon pricing environment is expected to remain strong in the medium- to long-term as lack of supply continues to grow.
PYX's Chairman and Chief Executive Officer, Oliver Hasler, said: "The world cannot tackle the climate crisis unless there is a sharp increase in metal supplies required to produce electric vehicles, solar cells and other green energy technologies. The continuous price increase of premium zircon comes as no surprise as a result of increasing demand from China and supply becoming more difficult out of certain regions. We will continue to focus on boosting our capacity in order to meet market demand and increase our global market share."
The latest price increase reflects the continued supply issues in South Africa and low inventory levels in China, with both triggering a general lack of premium zircon supply globally. Australian sales of Heavy Mineral Concentrate (HMC) to China have created a further void of premium zircon in the market, leading to higher customer demand and consequently, higher market prices, with Indonesian zircon prices having now reached their highest price point since 2013.
In a time of a global switch to green energy, demand for copper, lithium, nickel, cobalt, and zircon is soaring. Premium zircon, such as PYX's, is in great demand for creating fused zirconia and other products, where standard zircon cannot be used.
The continuing growing demand for green energy, the continued growth of the Chinese economy and recovery of European economies from the COVID-19 pandemic, suggest the zircon pricing environment is expected to remain strong in the medium- to long-term as lack of supply continues to grow.
PYX's Chairman and Chief Executive Officer, Oliver Hasler, said: "The world cannot tackle the climate crisis unless there is a sharp increase in metal supplies required to produce electric vehicles, solar cells and other green energy technologies. The continuous price increase of premium zircon comes as no surprise as a result of increasing demand from China and supply becoming more difficult out of certain regions. We will continue to focus on boosting our capacity in order to meet market demand and increase our global market share."
About Pyx Resources Limited:
PYX Resources Limited (NSX:PYX) is a global producer of premium zircon listed on the National Stock Exchange of Australia. The Company's flagship asset is the Mandiri mineral sands deposit, located in the alluvium sediment rich region of Central Kalimantan, Indonesia. Boasting the world's 5th largest producing deposit of zircon, PYX is a large-scale, near-surface open pit operation in production since 2015 and with exploration to date validating the presence of additional Valuable Heavy Minerals such as rutile, ilmenite among others within its mineral sands.
Source:
Pyx Resources Limited
Contact:
ir@pyxresources.com
Tel.: +61 2 8823 3132