23rd Jul 2008 07:00
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ALBIDON LIMITED |
Level 1 |
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62 Colin St |
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West Perth 6005 Western Australia ARBN 107 288 755 Tel:+6189211 4600 Fax: +6189211 4699 Email:[email protected] ASX Code: ALB AIM Code: ALD |
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MUNALI NICKEL PROJECT - UPDATE ON PROGRESS
http://www.rns-pdf.londonstockexchange.com/rns/6697Z_-2008-7-23.pdf
UKEY POINTS
Mining at the Munali Nickel Project continues to exceed budget with +100,000 tonnes at 0.7 - 0.8% Ni produced since the commencement of ore production in the March 2008 quarter.
Commissioning of the Munali concentrator is progressing well with ramp up to name plate capacity expected by January 2009.
A stockpile of nickel-copper-cobalt-PGM concentrate is being built for "mine gate" sale to the Jinchuan Group.
UMining
The Project commenced production of first ore from underground development several months ahead of schedule in the first quarter of 2008. Mining production is progressing to plan with results exceeding targeted rates. Sustaining this trend will allow stoping production to ramp up faster than budgeted. The inclusion of hanging wall stripping on 1040 level in the mining plan provides additional production flexibility in support of the recently approved 1.2Mtpa upgrade.
UConcentrator
Ramp up of commissioning at Munali is progressing well, all concentrator process routes are expected to be commissioned during this month and the rapid progress on site is illustrated in Pictures 2 to 5 shown in the hyperlink above.
Stabilisation of the concentrator circuit is scheduled for the end of July and optimisation will commence in August. The focus in the coming months will be to build the concentrator up to full production of 1.2Mtpa of ore from the Enterprise mine to generate between 10,000 tpa and 10,500 tpa of nickel in high quality Ni-Cu-Co-PGM concentrate. It is anticipated that full production at this rate will be achieved in early 2009.
UConcentrate
A stockpile of nickel-copper-cobalt-PGM concentrate is being built for "mine gate" sale to the Jinchuan Group.
U
Background
Albidon's 100% owned Munali Nickel Project is located approximately 60 kilometres south of Zambia's capital city Lusaka. A positive Bankable Feasibility Study was completed in July 2006 and site works commenced in September 2006, following receipt of all required approvals. Underground development intersected the Enterprise orebody in January 2008. Commissioning of the nickel concentrator is underway for full ramp up by January 2009.
If you have any queries, please contact the Chief Financial Officer, Nicholas Day or Managing Director, Dale Rogers on +61 8 9211 4600 or email H[email protected]H.
Additional information may also be viewed on Albidon's website at www.albidon.com.
Albidon's nominated adviser is RFC Corporate Finance Ltd, contact Stephen Allen +61 8 9480 2500.
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