26th Nov 2008 07:00
26th November 2008
Mwana Africa PLC ("Mwana" or the "Company")
Bindura Nickel Corporation Operational Update
Bindura Nickel Corporation ("BNC"), the integrated nickel mine, smelter and refinery operation in Zimbabwe, in which Mwana holds a 52.9% stake, has announced today that the Board of BNC has taken a decision to place the Trojan and Shangani Mines on care and maintenance with immediate effect. The smelter and refinery operations will be placed on care and maintenance once stocks have been depleted.
Discussions with stakeholders are continuing to put in place measures to mitigate the effects of declining nickel prices, low production levels, unfavourable exchange rates and periodic power blackouts, which have undermined the viability of BNC's operations.
BNC's priorities are to retain and maintain the critical infrastructure and skills required to allow a return to production as and when more favourable conditions return, and to mitigate the impact of these actions on BNC's employees, suppliers, and the communities in which BNC operates. Mwana is providing support to the management of BNC in their efforts to achieve these objectives.
BNC is also, with Mwana's support, investigating the potential for the smelter and refinery operations to resume production using third party feedstock, under existing and additional toll contracts.
This press release is also available for download from the Company's website; www.mwanaafrica.com.
Enquiries:
Oliver Baring, Executive Chairman Tel: 020 7654 5580
Mwana Africa PLC
Tom Randell / Anca Spiridon Tel: 020 7653 6620
Merlin
Mike Jones / Ryan Gaffney Tel: 020 7050 6500
Canaccord Adams Limited
This press release includes 'forward-looking statements'. Words such as 'anticipates', 'expects', 'intends', 'plans', 'forecasts', 'projects', 'budgets', 'believes', 'seeks', 'estimates', 'could', 'might', 'should' and similar expressions identify forward-looking statements. All statements other than statements of historical facts included in this press release, including, without limitation, those regarding Mwana Africa's business strategy and plans and objectives of management for future operations and acquisition opportunities, are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors which could cause the actual results, performance or achievements of Mwana Africa or the markets and economies in which Mwana Africa operates to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements, including, without limitation, political, regulatory and economic factors. Factors that would cause actual results or events to differ from current expectations include, among other things, political risks, changes to regulations affecting Mwana Africa's activities, and the other risks involved in the mineral exploration industry. Mwana Africa believes that the assumptions inherent in the forward-looking statements are reasonable; however, forward looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. Mwana Africa does not assume any responsibility to update any of such forward-looking statements, save as required by relevant law or regulatory authority.
Related Shares:
Asa Resources