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Nifty to start mining this week

ADITYA Birla Minerals says early production will start at its shuttered Nifty copper mine this we...

Andrew Duffy
Nifty to start mining this week

The underground mine in Western Australia has been on hold since a sinkhole disrupted operations in March.

After gaining regulatory approval last week, the company has completed a new stoping, development and production schedule to plan operations at the modified mine.

While ore will start to be delivered to the surface this week, Aditya said mining would gradually ramp up alongside processing and other operations during August.

"It is expected that operations will not achieve optimal levels during the first few months of the ramp up, but the company will strive to become financially viable during the course of the remainder of the year," it said.

Based on the new study, the company said it expected to produce 16,000-18,000 tonnes for the rest of the year, though the numbers may vary on the success of the ramp-up and other variables.

An upcoming quarterly report will detail the cash burn seen over the shutdown months, and will also show the funds remaining.

The shutdown has already had a significant effect on the company, and last month 109 jobs, or about 26% of the mine's workforce, were axed through voluntary redundancies.

In other updates, Aditya said it was still waiting to hear back from its insurers.

The company's shares were steady at A22.5c this morning.

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