https://www.miningweekly.com
Copper|Financial|Flow|Gold|Mining|Sustainable|Underground|Waste|Flow|Maintenance|Waste|Operations
Copper|Financial|Flow|Gold|Mining|Sustainable|Underground|Waste|Flow|Maintenance|Waste|Operations
copper|financial|flow-company|gold|mining|sustainable|underground|waste-company|flow-industry-term|maintenance|waste|operations

Tembang on care and maintenance while new mine plan is prepared

13th August 2018

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

Font size: - +

PERTH (miningweekly.com) – ASX-listed Sumatra Copper & Gold has placed its Tembang gold/silver operation, in Indonesia, on care and maintenance.

The company in May this year temporarily suspended openpit operations at the Tembang mine until the operation could be connected to the State-owned electricity grid later this year.

During the intervening period, Sumatra has operated solely on the production from the Belinau underground mine.

However, the company told shareholders on Monday that lower production grades and excessive waste mining in the lower portion of the underground mine have resulted in negative cash flow from operations, which the board has determined was not sustainable.

As a result, all operations at Tembang have now been suspended and the mine has been placed on care and maintenance in order to minimise losses, while a new mine plan, based on a lower sustainable cost base, can be prepared.

Discussions have also started with the company’s lenders and creditors to allow Sumatra to restructure its financial position to enable the mine to remain on care and maintenance.

The preparation of the new mine plan, and the financial restructure is expected to take at least two months to complete, and will also include the implementation of cost-saving initiatives and securing of additional funding.

In the meantime, Sumatra’s share trading remained suspended on the ASX.

Edited by Mariaan Webb
Creamer Media Senior Deputy Editor Online

Comments

Showroom

Condra Cranes
Condra Cranes

ISO-certified Condra manufactures overhead cranes, portal cranes, cantilever cranes and crane components: hoists, drives, end-carriages, brakes and...

VISIT SHOWROOM 
Goodwin Submersible Pumps Africa (Pty) Ltd
Goodwin Submersible Pumps Africa (Pty) Ltd

Goodwin Submersible Pumps Africa is sole distributors for Goodwin electrically driven, submersible, abrasion resistance slurry pumps.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

PGMs and green hydrogen make headlines
PGMs and green hydrogen make headlines
19th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.164 0.202s - 111pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: