Metorex reports higher copper and cobalt production

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Metorex reports higher copper and cobalt production

19th January 2011



JOHANNESBURG (miningweekly.com) − Base-metals-miner Metorex on Wednesday reported a 5% increase in its copper production and a 26% increase in its cobalt production for the six months ended December.

The company, which owns operations in the Democratic Republic of Congo and Zambia, increased its copper output to 26 358 t and boosted its cobalt production to 2 021 t.

The production gains were achieved despite the transformer challenges at Ruashi during the December quarter, which adversely affected output, CEO Terence Goodlace said.

Ruashi returned to full production in mid-December, after a transformer failure in November.

Copper production at Ruashi increased to 15 467 t in the six months to December, from 14 323 t in the six months ended June. Cobalt output rose by 28% to 1 572 t.

The Chibuluma operation in Zambia produced 9 008 t of copper in the period under review, from 8 721 t in the previous six months.

However, production at the Sable mine declined sharply in the interim period, with copper output falling by 13% to 1 883 t and cobalt production falling by 55% to 13 t.

“The current market for copper remains positive and prices remain buoyant," Goodlace added.

The detailed report for the six months would be published on March 1.

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Metorex first half copper output up 5pct
Friday, 21 Jan 2011

Junior miner Metorex said that, during the six months ending in December 2010, its copper production increased by 5% to 26,358 tonnes, while its cobalt production increased by 26% to 2,021 tonnes.

Mr Terence Goodlace CEO of Metorex said the increase in production came despite the previously reported transformer challenges at Ruashi during the December 2010 quarter, which adversely affected copper and cobalt production. He said that “The current market for copper remains positive and prices remain buoyant.”

Metorex operates the Ruashi copper and cobalt mine near Lubumbashi in the Katanga province of the Democratic Republic of the Congo, and Chibuluma, an underground copper mine situated west of Kitwe near Kalulushi in Zambia.

It also operates Sable Zinc, near Kabwe in Zambia. The operation includes a modern solvent extraction electrowinning plant and acid plant. It purchases third-party ores and produces copper cathode and cobalt concentrate.

Metorex also has three prospective base-metal growth projects located in the DRC - the Dilala East, Kinsenda and Lubembe projects. It also operates the Consolidated Murchison underground antimony and gold mine situated at Gravelotte in Limpopo.

(Sourced from I Net Bridge)

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Metorex reports impressive results
Johannesburg, South Africa --- MININGREVIEW.COM --- 02 March 2011

South African-based and JSE-listed Metorex Limited ‒ a mid-tier mining group well-known as a base metal operator in Zambia and the Democratic Republic of Congo (DRC) ‒ has announced a set of impressive and highly encouraging provisional reviewed results for the 18-month period ended 31 December 2010. Shareholders are reminded that the company’s year-end has changed to 31 December.

In a statement issued here the company said copper production was up 5% to 26 358t and cobalt output rose 26% to 2 021t. Mining profit was up 111% to R851, and adjusted headline earnings per share rose 152% to 32 cents.

The statement added that net debt had been further reduced to R416 million, and pointed out that the company was now well positioned to advance growth projects with a high degree of due diligence.

CEO Terence Goodlace commented: “This is a pleasing result for Metorex shareholders with gross revenue having increased by 27% to R1.8 billion and mining profit by 111% to R851 million. On the operational side, both copper and cobalt production rose despite transformer challenges at Ruashi which impacted production for a period of five weeks. Unit costs remain competitive and robust copper prices continue to impact positively on the ability of the Group to advance our DRC copper development projects.”