A globally reputed mineral sands multinational (and Worldโs largest Zircon producer) revealed on 30 August in Colombo that it is planning to commence one of the largest mineral extraction operations in Sri Lanka from 2019.
โOnce we clear the Environment Impact Assessment (EIA) we would like to start immediately since we want the proposed operation fast-trackedโ said an upbeat Head of Resource Development of Australia based Iluka Resources Limited Mr Simon Hay on 30 August.
Ilukaโs Simon Hay was addressing Minister of Industry and Commerce Rishad Bathiudeen on 30 August during his meeting with the Minister joined by Ilukaโs Sri Lanka Country Manager Mr Robert M Tyler and General Manager Major Projects and Engineering at Iluka Resources Mr Gavin Swart.
The global mineral sands multinational Iluka Resources is based in Perth, Australia and is the largest zircon producer, supplying around one-third of worldโs zircon volumes.
โIlmenite is the ore used to produce titanium. The global titanium market has improved in recent months, which is positive for the whole industry. We would like to accelerate our proposed project in Puttalam. We will invest a very significant amount in this project. Our initial investment alone is more than $540 million. The project will give direct employment to 500, and another 2500 indirect jobs. This large scale project in Puttalam can enhance Sri Lankaโs overall mineral industry profile. Once we clear the Environment Impact Assessment (EIA) and groundwork with stakeholders, we would like to start immediately since the proposed operation is now fast-tracked by our offices. After we commence production, we expect to supply no less than 700,000 tonnes ilmenite per year to the worldโs four million tonne strong total supply-around 17% of total supply! This means Ilukaโs Puttalam ilmenite operation will be only second to worldโs largest ilmenite operation by Kenmare Resources in Mozambique. In short, Iluka is ready to commence worldโs second largest ilmenite operation in Puttalam by 2019! The proposed Puttalam operation is not really a short term project but a long term project-with a time span of 40 years. In later stages of the project, it will initiate many support service jobs in Puttalam area in logistics, machinery maintenance etc!โ
Minister Bathiudeen welcomed Ilukaโs initiatives in Sri Lanka and said: โIlukaโs entry will no doubt enhance our mineral industry profile and boost it while supporting the industry reforms and FDI calls of our Unity government of President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe. Sri Lankaโs mineral resource industries are in need of latest tech transfers by such multinationals as Iluka and your investments can greatly help us in this regard.ย I and my Ministry are ready to extend our fullest support to your initiatives here at all times.โ
Ilmenite is mined to produce Titanium, a critical mineral in many sectors. Titanium is the expensive, strong and light but non-corrosive metal used in aerospace industries, aircraft engines, missiles and ships across the world and at day-to-day level, in all types of paints as a โpigmentโ as well as on the essential outer-coating found in all ceramics.
Leader of All Ceylon Makkal Congress