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Condor starts production in Chile

2nd April 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – ASX-listed Condor Blanco Mines have started production at its Marianas magnetite tailings project, in Chile.

The miner said on Tuesday that it had begun processing and stockpiling an initial 5 000 t of iron-ore tailings at grades of between 63% and 65% iron, using local contractors to excavate and process the material.

“The start of production at Mariana is an important milestone in the development of a strong cash-generating project to support our long-term strategy for our porphyry prospects,” said Condor Blanco Mines MD Glen Darby.

“We now look forward to making a number of announcements in the near term regarding Marianas, including the ramp-up of production to 30 000 t/m and the signing of offtake agreements.”

Darby told shareholders that while the company was using existing funds to bankroll the initial operations, Condor Blanco was in ongoing talks to secure debt funding for machinery, as it ramped-up production to 30 000 t/m during the remainder of 2013.

The company was also negotiating offtake agreements with potential customers, and expected to announce sales to preferred potential customers within this year.

Condor Blanco holds a 50% interest in the Marianas project, which was essentially a materials handling exercise involving the retreatment of an estimated 11-million tons of magnetite-bearing tailings.

Edited by Creamer Media Reporter

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