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Mirabela says Q3 production solid

24th October 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Embattled nickel miner Mirabela Nickel has reported a solid quarter, despite being in administration.

Production during the three months to the end of September reached 2 628 t of nickel in concentrate. This compares with 2 767 t produced during the previous quarter.

The miner told shareholders on Friday that the third quarter saw improvements in both material movement and processing plant throughput; however, the lower quantity of ore mined resulted in the requirement to blend it with marginal-grade ore to ensure adequate feed to the plant.

This adversely impacted on the ore grade and on overall production output.

During the quarter under review, 1 894 t of nickel in concentrate was sold under a long-term offtake agreement with Norilsk Nickel, while a further 929 t of nickel in concentrate was sold in-country to an international and foreign domiciled trading house, under a short-term offtake agreement that extended until the end of the year.

Mirabela reported that it was currently tendering for a long-term offtake agreement for around 50% of production from early 2015 onward.

The company’s administrators, which were appointed in February, were progressing a recapitalisation proposal for Mirabela.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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