Iluka Resources Limited (Iluka) is holding its 65th Annual General Meeting (AGM) today, including a webcast.

A transcript of the addresses delivered by the Chairman and Managing Director is attached.

A summary of the key points covered in these addresses is as follows.

Operational response to COVID-19

Iluka's first priority is the safety and wellbeing of its people, their families and the communities in which the company operates.

The company has established a Crisis Management Team, charged with the coordination and oversight of Iluka's crisis response at the group level.

Emergency Management Teams have been established at each operational site and site-specific infectious disease management plans are in place to minimise the risk of infection and ensure preparedness in the event of an infection.

Iluka has, to date, maintained operational continuity across the company's sites. Further, the company's supply chains remain operational at this time and product is being moved as planned.

Iluka's response to the pandemic is becoming more 'business as usual' in Australia: infection risk minimisation and business continuity efforts now focussed on continuous improvement rather than implementing new measures. Given shifting emphasis of the response to the pandemic, Iluka's attention is being directed at working through a range of potential scenarios considering longer term settings.

Sierra Leone has far fewer reported cases (less than 10) of COVID-19 and the pandemic is at an earlier stage there than in other countries. While Sierra Rutile remains operational, the country has closed its borders.

In the company's 2019 Full Year Results on 20 February, Iluka foreshadowed potential impacts of COVID-19 on global demand and its markets. Given continued uncertainty in relation to the impacts and duration of the pandemic, the company has today withdrawn its 2020 guidance.

Project pipeline

Work on some aspects of the company's project development portfolio has been curtailed in the short term by restrictions on the movement of people.

Mining trials scheduled for the first half of 2020 at Balranald in New South Wales and Sembehun in Sierra Leone have both been delayed.

Completion of preliminary feasibility studies for the Wimmera and Atacama projects have also been delayed to 2021.

Commissioning of Phase 1 of Eneabba mineral sands recovery project in Western Australia has been able to continue, with first sales expected in the third quarter.

Royalty business demerger update

Intention remains to undertake the demerger of the royalty business in 2020.

There is no further update to the timeline for the demerger at this stage, given the impact of travel and social distancing restrictions currently in place around the world on the practicalities of executing a demerger process.

The demerger will proceed when it is practicable to do so, and the company will update the market in due course.

Markets update

Seasonally low period for zircon sales has been exacerbated by widespread factory shutdowns that occurred in China in January and February.

Pace at which factories re-open and the Chinese economy normalises will be important influences on zircon sales for the remainder of the year, as will impacts on downstream zircon customers located in Europe, including Italy and Spain, where the pandemic has hit especially hard.

The take-or-pay offtake agreements in place for Iluka's high grade titanium feedstock production (rutile and synthetic rutile) provide a high degree of revenue certainty for sales of the company's titanium dioxide feedstocks.

This document was approved and authorised for release to the market by Iluka's Managing Director.

Contact:

Tel: + 61 (0) 450 398 431

Email: investor.relations@iluka.com

(C) 2020 Electronic News Publishing, source ENP Newswire