Andrada Mining Share News (ATM)

(Sharecast News) - Andrada Mining reported an 11% year-on-year increase in tin concentrate production to 405 tonnes for the quarter ended 31 May on Friday, alongside a continued reduction in operating costs as it strengthened its performance at the Uis mine in Namibia.

Ore processed rose 7% to 254,745 tonnes, while contained tin output increased 2% to 238 tonnes.

Plant utilisation improved to 93%, up from 90% a year earlier, with the processing rate climbing to 142 tonnes per hour.

Realised tin prices averaged $32,993 per tonne, a 7% increase year-on-year and 9% higher quarter-on-quarter.

Cost discipline was evident across key metrics, with C1 cash costs falling 11% quarter-on-quarter to $18,901 per tonne of contained tin, while C2 costs dropped 3% to $24,139.

All-in sustaining costs were down 2% from the prior quarter at $28,999 per tonne.

The AIM-traded company also produced 12.1 tonnes of saleable tantalum concentrate in the quarter, up from 8.6 tonnes a year earlier.

Strategically, the crushing circuit for the new jig plant had been delivered to Uis, with production from the expansion targeted for the second half of 2025.

Meanwhile, Andrada said it had started exploration at Lithium Ridge after receiving approval for the stage one workplan and budget from its joint development committee.

"Andrada continues to demonstrate strong operational momentum and strategic progress across all areas of the business, reinforcing our role as a key enabler in the development of Namibia's critical minerals sector," said chief executive officer Anthony Viljoen.

"During the quarter, we were delighted to see solid performance improvements at our Uis operation supported by enhancements from our Continuous Improvement 2 programme, including upgrades to the DMS circuit.

"These modifications drove an increase in processing rates and tin production, highlighting the growing efficiency and reliability of our operations."

Viljoen said production of the company's "increasingly valuable" byproduct tantalum improved notably, reinforcing its "multi-mineral offering".

"Operational cost performance improved overall, driven by ongoing pro-active cost-reduction initiatives that are expected to enhance cash flows over the course of the year.

"This includes the completion of a group-wide corporate restructuring, which is expected to further rationalise the cost base and strengthen overall profitability."

Construction of the new jig plant was advancing well, Anthony Viljoen added, with the front-end crushing circuit delivered to Uis and fabrication of key components underway.

"As we look ahead, Andrada remains focused on operational excellence, disciplined capital deployment, and the strategic development of our diversified critical minerals portfolio."

At 1026 BST, shares in Andrada Mining were up 1.84% at 2.67p.

Reporting by Josh White for Sharecast.com.