PAR.L Regulatory News (PAR)

7 Jun 2007 14:30

Noventa Limited07 June 2007 Update on Marropino Mine Subsequent to announcing delays in the ramp-up at Marropino on 17 May 2007, theBoard of Noventa reports the following progress: The senior management team, accompanied by experts from equipment suppliers andspecialist consultants, have now spent time on site investigating the causes ofthe lower than planned recovery which is currently being experienced, andidentifying remedial action. Having made a few minor modifications to various areas of the processing plant,the Directors are satisfied that all parts of the plant will process tospecification and designed capacity. The problems encountered with the run-of-mine material currently being processedrelate to variable (and on average lower than planned) grades, excess oversizematerial, recovery rates and plant availability. As regards grades and oversize material, the management is working closely withits mining consultants to accurately identify the issues and has commenced aninfill drilling programme. The Board has approved the procurement of a secondary beneficiation plant inorder to enhance recoveries in the medium term. Action has already been taken tocorrect the shortfall in plant availability and the Company is confident thatplanned availability rates can be achieved or exceeded. As things stand, the planned production ramp-up is behind and it is unlikelythat the Company will achieve forecast production of approximately 300,000lbsTa2O5 for the financial year. Based on conclusions from the preliminary workdone so far, the Company is now confident that the issues will be resolved.Revised production estimates for the current year will follow analysis of theresults of the drilling programme expected in September 2007. Chairman Clinton Wood commented: "The delay in the ramp-up is clearly frustrating. In response, we have takenvigorous action to address the issues and we are confident of realising the fullpotential of the Marropino mine. We believe that the outlook for the tantalumindustry remains positive". Enquiries: Noventa Tel: +44 (0)20 7404 5959Clinton Wood, Chairman Brunswick Group LLP Tel: +44 (0)20 7404 5959Andrew GarfieldMark Antelme www.noventa.net This information is provided by RNS The company news service from the London Stock Exchange