2016-09-19 The Nampala mine generates positive net cash flows
Quebec, Quebec (September 19, 2016), the Company Robex Resources Inc. ("Robex" and / or "the Company") (TSXV: RBX / FWB: RB4) is pleased to announce that preproduction at the Nampala mine, is currently in a period of increasing production rates (ramp-up), now allows the Nampala mine to generate positive cash flow for the first time in its history. Currently, the production level is around 3,000 tonnes per day (tpd) and is very satisfying only a month and a half after the startup of the permanent 750 kW ball mill.
Since mid-July 2016, the ball mill has started and the mine is in a commissioning period in order to gradually bring production to the final target of 4,000 tpd at the beginning of 2017. In early August, the last two additional CIL tanks were also added to the circuit to bring the total to six tanks.
The table below summarizes the daily tonnage averaged per week since the start of the 750 kW ball mill. This illustrates the steady increase of the preproduction at the mine.
Click this link if you do not see the table: Average daily tonnage.
* The mine came to a complete stop for four and a half days during the week of August 23, 2016 to perform a correction on the alignment of the drive system of the ball mill.
** The mine went through a planned shutdown for a half-day for maintenance during the week of September 6, 2016. Without this shutdown, the period would have had a daily average tonnage of 3,086 tonnes.
The equipment availability is at this stage particularly satisfactory in the commissioning, it has reached an availability rate of 88% since the beginning of September. The recovery, as well, with a rate of 81% in August and 84% in September was satisfactory in regards to the target rate of 86%.
The tonnage is currently limited by several factors. A first factor is the hard laterite ore that was strongly present at the start of operations at the mine. This ore is expected to be exhausted or in low proportion by the end of 2016. Of course, as in any ramp-up, different points of varying complexities arise and are solved one by one, for example: the tank overflow, the water availability, moving trucks during the rainy season, the deficient pumping, etc.
Even if the plant is currently operational, there are still certain elements to improve. The gravimetrical sectors, reagents and coal processing are not yet operational. Completing these elements in the coming months will increase productivity and optimize recovery. Moreover, the company plans to soon install a complete fire assay laboratory on site.
Mr. Georges Cohen, president and CEO of the company said: "Although the construction of the mine has taken longer than expected, I am very excited at this stage, reaching in September the production target of close to 3,000 tonnes per day that we had set for 2016. This demonstrates without a doubt that the Nampala mine has all the expertise required to rapidly bring the production to 4,000 tonnes per day."
Data were validated by Antoine Berton Eng, Ph.D., Soutex metallurgist, a metallurgical consulting firm and who treat the ore on site.
Nomination of Simon Boudreau
The Company recently carried out the re-employment of Mr. Simon Boudreau, engineer, as director of operations at the Nampala mine. Mr. Boudreau had held the position of Director of Nampala mine in 2014. He worked as an independent consultant in mining engineering; he was project manager at Dumas Contracting Ltd. from 2010 to 2012, and Chief Engineer at High River Gold from 2006 to 2010. Mr. Boudreau is a graduate from University Laval in mining engineering and mineral processing (2003) and is a member of the Ordre des ingénieurs du Québec.
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Augustin Rousselet, CFO
Office: (581) 741-7421
This press release contains statements that may constitute “forward-looking information” or “forward-looking statements” as set out within the context of security law. This forward-looking information is subject to many risks and uncertainties, some of which are beyond Robex’s control. The actual results or conclusions may differ considerably from those that have been set out, or intimated, in this forward-looking information. There are many factors which may cause such disparity, especially the instability of metal market prices, the results of fluctuations in foreign currency exchange rates or in interest rates, poorly estimated reserves, environmental risks (stricter regulations), unforeseen geological situations, unfavourable extraction conditions, political risks brought on by mining in developing countries, regulatory and governmental policy changes (laws and policies), failure to obtain the requisite permits and approvals from government bodies, or any other risk relating to mining and development. There is no guarantee that the circumstances anticipated in this forward-looking information will occur, or if they do occur, how they will benefit Robex. The forward-looking information is based on the estimates and opinions of Robex’s management at the time of the publication of the information and Robex does not assume any obligation to make public updates or modifications to any of the forward-looking statements, whether as a result of new information, future events, or any other cause, except if it is required by securities laws.
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