Mayur Resources Limited (ASX:MRL) Announces Progress on Central Lime Project
Project Progress
Mayur Resources Limited (ASX:MRL) has received favourable revised Engineering Procurement and Construction (EPC) bids for its Central Lime Project. The updated kiln design and specifications have led to enhanced production performance, updated cost estimates, and significantly improved EBITDA forecasts. The company is nearing completion of discussions with high-quality customers regarding offtake agreements.
Revised Construction Bids and Financial Forecasts
The company has identified an opportunity to deploy renewable solar energy for the power station, expected to reduce fuel costs and improve earnings. Site infrastructure modifications include an expanded footprint, enhanced electrical distribution, camp facilities, and owner-supplied fuel provisions. Original Equipment Manufacturers provided revised kiln designs with an 800 tonnes per day capacity, a 33% increase from the Definitive Feasibility Study (DFS). Hydration plant capacity has been increased to 15 tonnes per hour, a 50% uplift. These enhancements are anticipated to boost production, operational flexibility, and diversify the product mix, improving earnings. Financial projections show capex increasing to USD104.39 million with solar, revenue rising to USD1,974 million, and EBITDA to USD1,031 million.
Early Construction Works
Mayur continues advancing its Central Lime Project with ongoing stage two wharf sheet piling installation expected to be completed by the end of March 2025. Stage three design aims for a multi-berth wharf capable of handling Handymax vessels with up to 55,000 tonnes per shipment. The company is also developing a 27.6km service road connecting the project to Port Moresby, including road upgrades, new construction, bridges, and drainage systems. This infrastructure project connects Kido village to Port Moresby by road for the first time.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.