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Construction at Ormonde Mining's Barruecopardo project is continuing on time and on budget
Barruecopardo Project Update
26 February 2019
Ormonde Mining plc
("Ormonde" or "the Company")
Ore Mining and Processing Underway at Barruecopardo
The Board of Ormonde ("the Board") is pleased to provide an update on the construction and commissioning of the Barruecopardo Tungsten Project in Salamanca, Spain ("Barruecopardo" or "the Project"), where the Company holds a 30% interest.
Open pit mining of surface tungsten ore zones commenced in January, and the crush and screen plant has been commissioned using ore to produce the fine ore stockpile for feeding into the process plant. The commissioning stages of the process plant have been advancing and the first ore has now been introduced to the process plant. This activity will continue during the following weeks, including producing tungsten concentrates, which will lead on to a progressive transition from the commissioning phase into the gradual ramp-up of production at Barruecopardo.
Key recent progress includes:
· Crush and screen plant and water treatment plant commissioning completed and handed over to operating team;
· Process plant:
o Installation of equipment and supporting structures materially complete, with some de-snagging ongoing;
o Dry commissioning and water commissioning both complete in most areas;
o Following some slippage in the schedule, commissioning has now progressed to commencement of ore processing and this "hot commissioning" will continue during the remainder of February and into March.
· Initial open pit mining operations underway in the north starter pit, and waste stripping of the east wall of the historic open pit also in progress;
· Installation of pumps ongoing in the water dams;
· Recent site photos can be seen on Ormonde's website at the following link http://ormondemining.com/timeline-in-pictures/.
Michael Donoghue, Ormonde's Chairman and Interim Managing Director, commented:
"Activities at Barruecopardo have been advancing well, with mining of ore for the process plant commencing in early January, and plant dry and wet commissioning mostly complete, with ore now being introduced to the process plant.
"These are significant milestones for the Project, and we look forward to seeing ore commissioning progress during the weeks ahead and the successful transition into the Project's production phase."
Ormonde Mining plc
Paul Carroll, Chief Financial Officer
Fraser Gardiner, Chief Operating Officer
Tel: +353 (0)1 8014184
Davy (Nomad, Euronext Growth Advisor and Joint Broker)
John Frain / Barry Murphy
Tel: +353 (0)1 6796363
SP Angel Corporate Finance LLP (Joint Broker)
Tel: +44 (0)20 3 470 0470
Capital M Consultants
Mob: +44 (0)77 03167065
Tel: +353 (0)1 4980300
This announcement includes certain statements that may be deemed "forward-looking statements". Although the Company believes the forward-looking statements are based on reasonable assumptions, such statements should not be in any way construed as guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements.
Risk factors are typical of a mining project during development, commissioning and operation, and include (but are not limited to): the availability and / or delivery of equipment and contractor services to complete mine construction on schedule and on budget; plant performance during and after commissioning; rates of metal recovery in the process plant; mined ore tonnages and grade in comparison to estimated ore reserves; cost overruns and the potential for future additional funding requirements; and tungsten concentrate sales prices.
Barruecopardo is a fully permitted and funded mining project currently being developed through a US$99.7 million funding package agreed with Oaktree Capital Management (70% interest). Ormonde's participation in the Project is held through its 30 per cent minority interest in Barruecopardo Joint Venture BV, a company which is governed by a Shareholder Agreement which provides for certain rights and obligations for each party.
For more information, visit www.ormondemining.com
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.
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