Mwana CEO Kalaa Mpinga
JOHANNESBURG (miningweekly.com) – Multicommodity miner Mwana Africa reported mixed production results from its Zimababwe-based operations – Freda Rebecca and Trojan Nickel – during the three months ended June 30 as modifications were made to improve future efficiency.
Production at the Freda Rebecca mine increased 1% to 13 503 oz of gold for the three months, while nickel-in-concentrate production from the Trojan mine declined by 14% to 1 902 t, the company announced on Thursday.
Mwana said the Freda Rebecca mine reflected an 8% rise in head grade to 2.07 g/t as a result of improvements in main production block feed grade.
The mine’s recovery, however, dropped 6.2% owing to temporary power supply failures at two absorption tanks.
Freda Rebecca’s cash costs increased 2% to $1 078/oz, while all-in sustaining costs (AISC) declined 4% to $1 283/oz.
Meanwhile, the company noted that the drop in nickel production at Trojan was owing to mobile equipment having been taken out of commission for refurbishment, as well as owing to the mining of lower grade areas.
The mine’s head grade decreased 6%, recovery was down 4.7% and nickel sales, at 1 871 t, were 17% lower.
Trojan’s cash costs increased 21% to $13 750/t, with AISC up 29% to $15 750, mostly as a result of lower production and the refurbishment of equipment.
"This quarter was mixed as various modifications intended to improve efficiency at Freda Rebecca and Trojan Nickel have been undertaken and the result of these changes will not be reflected until our second quarter update.
“Modifications to improve the efficiency of the mills were undertaken at Freda Rebecca resulting in low mill availability while at Trojan Nickel, mobile equipment was taken out of commission for refurbishing, impacting production,” Mwana CEO Kalaa Mpinga explained.
He stated that all the work undertaken was necessary as part of the equipment rebuild, to pave the way for ramping up in the second quarter at Trojan and improved mill efficiency at Freda Rebecca, and would put both mines in a stronger position for the second quarter.
Further, Mwana’s Klipspringer diamond mine, in South Africa, raised its production by 92% to 23 750 ct during the quarter, with an average price of $20/ct having been received.
The Klipspringer mine had reached steady-state production by the end of the quarter.
Mpinga added that the company was also in the process of reclassifying its resource at Zani-Kodo in the Democratic Republic of Congo.