Minmetals Resources Limited (HKEx stock code 1208) (“MMR”) today announced its Third Quarter Production Report for the three months ended 30 September 2011. The report covers the Company’s operations in Australia and Laos.
Highlights from Minmetals Resources Limited (MMR) for the third quarter included:
- Record quarter copper cathode production at Sepon of 21,178 tonnes reflecting the site’s first quarter of full production following the copper plant expansion.
- Strong increase in total zinc production compared to the previous quarter led by Golden Grove and assisted by solid zinc output at Century and Rosebery.
- Government approval received to recommence trial shipments of Golden Grove High Precious Metal concentrate (lead concentrate with silver and gold by-products) (“HPM”) through Geraldton Port in the fourth quarter.
- Dugald River zinc project remains on track for first production in 2014 with precommitment work accelerating and expected spend for 2011 of A$70-80 million
- Drilling yielded further zinc and copper mineralisation at Gossan Valley, 6 km from Golden Grove building confidence that it has potential to be a future mine development.
- Minmetals Resources launched a friendly takeover offer of C$8.00 per share to acquire all of the common shares (on a fully diluted basis) of Anvil Mining Limited.
- Minmetals Resources Limited entered into an agreement for the sale of its trading, fabrication and other businesses to China Minmetals Nonferrous Co., Ltd for US$726.8 million.
- Century was awarded Hard Rock Mine of the Year at the 8th annual Australian Mining Prospect Awards for its significant safety improvements, commitment to the sustainable development of local communities and strong 2010 production.
Total zinc, lead and copper cathode produced were all ahead of the previous quarter as the operations recovered from weather and other issues experienced early in the year.
“We’re seeing some exciting results from our Sepon copper expansion that has now delivered the first full quarter at the new name plate capacity,” said MMR Chief Executive Officer Mr Andrew Michelmore.
“In addition, the excellent mill utilisation at Golden Grove and solid output at Century have delivered a strong increase in total zinc production on the previous quarter.”
The drop in commodity prices at the end of the third quarter was driven by macro-economic concerns rather than developments on physical markets which generally remain solid.
“In line with our stated strategy of focusing on our upstream base metal assets, we were pleased during the quarter to announce both the agreement to sell our non-core downstream aluminium assets and a friendly takeover offer for Anvil Mining and its copper assets in the Democratic Republic of Congo,” said Mr Michelmore.
For further details see the full Third Quarter Production Report at www.minmetalsresources.com or www.mmg.com