Grange Resources' Savage River Mine raking in the...

Grange Resources' Savage River Mine raking in the cash
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Revenue and profit have soared for Savage River miner Grange ResourcesLimited.Full-year after tax profit for 2018 surged by 86 per cent, from $60.7 million in 2017 to $112.9 million.Revenue from ordinary activities increased by 49 per cent, to $368.2 million.Grange's success was built on factors including increased sales, stronger prices for its iron ore, a weaker exchange rate against the US dollar and a slight reduction in operating costs per tonne.Grange reported it averaged a price of $149.76 per tonne during the year.That compared to $127.20 in 2017.Annual sales increased from 1.9 million tonnes to 2.37 million tonnes.Grange said mining activity was strong in the first six months of the year despite wet weather conditions."The high level of rainfall increased in July and August and impacted mining activities in the main ore zone area," it said in its financial report."While this affected production rates through October, mining rates improved on the successful completion of the dewatering project and access to the main ore zone (was) restored in quarter four and supported full-year planned production."Waste stripping continued on the west wall of North Pit, with ore accessed from stages under the east wall."Grange continued to work towards potential underground mining in North Pit.It said preliminary work on an exploration decline had started, "with two diamond drill holes for an advance of 350 metres"."These were drilled along the portal alignment to provide structural information into the east wall."A tender process is in progress to appoint a contractor to construct the decline."Grange said its priorities included completing a feasibility study into underground mining at North Pit and reviewing the potential of delivering ore from Centre Pit.The company reported its net assets increased in the year to December 31 from $387.6 million to $477.8 million.