Image Resources NL (ASX: IMA) (Image or the Company) is Australia's newest mineral sands mining company operating at its 100%-owned, high-grade, zircon-rich Boonanarring Project located 80km north of Perth in the infrastructure-rich North Perth Basin in Western Australia. Image has developed a reputation of over-delivering on its representations to shareholders by successfully constructing and commissioning the Boonanarring Project on-schedule and on-budget in 2018; exceeding name-plate production capacity in only the second month of operations (January 2019); and beating market guidance in Q1 and Q2 of 2019 and raising guidance for CY 2019. Image achieved profitability and was cashflow positive in Q2 2019. In 1H 2019, Image operational and economic performance was significantly better than expectations. Production of heavy mineral concentrate (HMC) was 138% of budget, HMC sales (tonnes) 101% of budget, operating costs 76% of budget, margin per tonne of HMC sold 125% of budget, Project EBITDA 127% of budget at $A29.9M and pre-audit estimated net profit after tax 157% of budget at A$6.6M. In July 2019 market guidance for CY 2019 was increased from Project EBITDA of A$40-50M to A$55-65M. Forecast guidance for 2020 is significantly higher at A$90-100 Project EBITDA. Performance in 1H 2019 was supported by the mined ore grade being substantially higher than estimated in the Ore Reserve with the average actual heavy mineral (HM) ore grade for 1H being 43% higher than budgeted at 10.1% HM. In addition, the zircon grade within the HM ore grade reported 12% higher than budget, and zircon represents 80+% of total revenue. The higher than expected ore grade was determined to be due to a very high-grade core of ore in the eastern strand of the deposit that was not adequately delineated with standard drill hole spacings of 20 metres. The eastern strand has since been re-drilled on nominal 5m spacings and an upgrade of the Ore Reserve is being commissioned and will be used to optimise the project economic model. The updated economic forecast is anticipated in Q4 2019 and will be used to update market guidance for the overall project. Image is currently forecast to retire all its existing debt and be in a position to consider a dividend to shareholders in Q2 2021 or sooner if debt repayments are accelerated. The Company continues to actively evaluate growth options, with a primary focus on other projects within its current portfolio.