LSE-listed Pembridge Resources subsidiary Minto Explorations has achieved a 57% month-on-month increase in December copper production and considerable improvement in head grade, following the restart of operations at the Minto mine in Canada in October.
Milling operations are currently operating on a two-weeks-on, two-weeks-off schedule as mining operations continue developing underground, preparing the mine for an increased mining rate later in 2020.
The company has received $7.1-million in payments for production in October and November, pursuant to an offtake agreement between Sumitomo Canada and Minto, where Minto receives a 90% provisional payment for the copper concentrate produced at each month end.
The advanced payment for production in December 2019 is expected to be a new high, since restart of operations, owing to the increased copper production and a stronger copper and gold price.
Pembridge CEO and board chairperson Gati Al-Jebouri indicated on Thursday that the company expected the revenue stream to continue to improve throughout 2020, owing to increases in the production rate, as well as the increasingly positive outlook for copper prices, which have already gained about 10% since mining operations resumed.
All 2019’s production was mined from the Minto East mining zone. Mining of this zone is expected to be completed in quarter two of 2020, at which point production will continue from the next mining zone, Copper Keel.