LONDON (Alliance News) - ZincOx Resources PLC Tuesday said its Korean recycling plant generated "record monthly" earnings in May after production increased following maintenance work carried out in April.
The Korean plant recycles electric arc furnace dust, a solid waste generated in the collection of particulate material during the steel-making process in an electric arc furnace to produce zinc concentrate.
The plant generated earnings before interest, tax, depreciation and amortisation of USD768,000 in April before rising to just over USD1.0 million in May as throughput and zinc concentrate production rose month-on-month.
In April, the plant had a throughput of 14,533 tonnes of electric arc furnace dust to produce 3,006 tonnes of zinc in concentrate at a recovery rate of 90% zinc. In May, this rose to 15,668 tonnes of electric arc furnace dust to produce 3,618 tonnes of zinc in concentrate at a recovery rate of 91% zinc.
ZincOx is optimising the plant to reach a target of 17,6000 tonnes of electric arc furnace dust per month at a recovery rate of 95% zinc, it said.
The throughput in April was reduced due to maintenance work that was carried out that prevented operations for the first four days of the month. The company said production also would have been higher in May, but there is a lack of electric arc furnace dust to process, a problem that is currently being addressed as the company plans to enter new supply contracts in July.
"The continuing optimisation of the operation in Korea is leading to greater profitability and further fine tuning of the plant should increase recovery over the next few months," said Chief Executive Andrew Woollett.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
