|
|||
2010-10-27 06:30:00 CEST 2010-10-27 06:30:18 CEST REGULATED INFORMATION Talvivaaran Kaivososakeyhtiö Oyj - Company AnnouncementProduction updateSTOCK EXCHANGE RELEASE 27 October 2010 Production update Talvivaara Mining Company Plc ("Talvivaara" or the "Company") announces a production update for the third quarter 2010: · Nickel production in Q3 2010 amounted to 3,211 tonnes, up 18% from Q2 2010 · Zinc production in Q3 2010 amounted to 7,557 tonnes, up 36% from Q2 2010 The ramp-up of production at the Sotkamo mine has been making progress since the end of June 2010. However, the rate of ramp-up during the third quarter was hindered by technical issues relating to the commissioning of the second production line at the metals recovery plant. In particular, installation faults discovered at the second hydrogen sulphide generator resulted initially in insufficient output and later in down time during repairs. Although the production output did not meet the targets set for the third quarter, the Company benefitted from higher than anticipated nickel prices. Consequently, the financial result for the period will be substantially better than that for the previous quarter. Talvivaara also maintains its assumption of turning cash flow positive before the year end. The average daily nickel production currently exceeds 50 tonnes and further uplifts in production are expected in the coming weeks as a result of section four of the primary heap coming on stream and the second hydrogen plant being commissioned. It is also anticipated that some metals can be recovered from secondary leaching in December. By the year end, Talvivaara anticipates reaching the production rate of 80-85 tonnes of nickel per day required for an annualised production rate of 30,000 tonnes. By the end of September, cumulative production for the year had reached 6,550 tonnes for nickel and 16,092 tonnes for zinc. Further guidance on the expected full year production will be given in connection with the third quarter interim results, to be announced on 10 November 2010. ENQUIRIES Talvivaara Mining Company Plc Tel: +358 20 712 9800 Pekka Perä, CEO Saila Miettinen-Lähde, CFO Merlin PR Tel: +44 207 726 8400 David Simonson Anca Spiridon Talvivaara Mining Company Plc Talvivaara Mining Company is an internationally significant base metals producer with its primary focus on nickel and zinc using a technology known as bioheapleaching to extract metals out of ore. Bioheapleaching makes extraction of metals from low grade ore economically viable. The Talvivaara deposits comprise one of the largest known sulphide nickel resources in Europe. The ore body is sufficient to support anticipated production for at least 46 years. Talvivaara has secured a 10-year off-take agreement for 100 per cent of its main output of nickel and cobalt to Norilsk Nickel and entered into a long-term zinc streaming agreement with Nyrstar NV. Talvivaara is listed on the London Stock Exchange Main Market and NASDAQ OMX Helsinki and is included in the FTSE 250 Index. Further information can be found at www.talvivaara.com. [HUG#1455347] |
|||
|