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Successful First Month of 24 Hour Production

9 Oct 2015 11:19

RNS Number : 8119B
Stratmin Global Resources PLC
09 October 2015
 

9 October 2015

 

 

StratMin Global Resources Plc

("StratMin" or the "Company")

Successful First Month of Twenty-Four Hour Production

StratMin Global Resources Plc (AIM: STGR), London's only listed graphite production and exploration company, announces a successful test month of 24 hour production at the Loharano project, with production volume meeting all targets.

 

Highlights

 

· In July 2015, following an agreement to collaborate with Tirupati and the deployment of their technical team on site, the Loharano plant was taken through a refurbishment programme. Following this, monthly production has steadily increased and, at the end of August, the plant was bought into twenty-four hour production.

· Throughout September, the processing plant operated as planned for 24 hours a day, six days a week, allowing for one day of planned maintenance.

· The drying plant operated non-stop for seven days a week.

· Feed and processing rates were maintained at low levels for the period with brief increases to test various processes.

· Testing identified two immediate areas for improvement and further modifications to the plant are underway to address these areas, including:

Inefficient milling resulted in grade degradation, which we are now completing a mill upgrade to resolve.

Elevated moisture content in the graphite concentrate feed into the drying circuit choked the throughput rate in the drier. The dewatering spinners were overloaded and not removing enough water prior to the concentrate entering the drier. Additional spinners are being shipped for immediate installation.

· Separately, improved grade control in mining showed immediate benefits, with head grade (the grade of raw graphite ore entering the plant) improving from 5.6% to 7.2% graphite content over the month.

· Production rates will be increased after the new equipment installation is completed and tested.

· With the success of the testing period, the operation can now move to extended twenty-four hour production, six days a week, and the team is being expanded to cater for permanent rostering.

· Company production records for dried and bagged, flake graphite concentrate volumes, from June 2015 are as follows:

o June: 64 tonnes

o July: 38 tonnes (with the plant out of production for refurbishment)

o August: 67 tonnes

o September: 255 tonnes (24 hour / six day a week production at limited feed rate)

§ With another 64 tonnes of dried concentrate in stock ready for screening and bagging

 

 

 

Brett Boynton, CEO, commented:

 

"We are pleased with the steady increases in production as we have systematically moved through an ongoing optimisation process. Initiating twenty-four hour production has been a huge milestone for the team and we are happy with the results so far, although we have identified areas where we need immediate improvement. As always, it is safety first, and we are taking a measured approach to pushing production up, so we see this as just another step and we still have a lot of work ahead of us.

 

"Every aspect of the operation has had to perform under increased pressure, but our very experienced on-the-ground management team has worked through this latest phase and we are now confident that Loharano can operate under extended processing hours.

 

"The partnership with Tirupati continues to help drive our technical program forward. Shishir and the team have established a clear programme to achieve our 6,000 tonne per annum goal and are methodically moving through it.

 

"Our current priority is to maximise the return on the existing investment and then translate that capital efficiency into the expansion program. I look forward to updating the market with further progress in due course."

 

 

For further information please visit www.stratminglobal.com or contact:

 

StratMin Global Resources Plc

Brett Boynton, CEO

+44 (0) 20 3691 6160

Strand Hanson (Nominated & Financial Adviser)

Rory Murphy / James Spinney / Ritchie Balmer

+44 (0) 20 7409 3494

Beaufort Securities (Broker)

Jon Belliss

+44 (0) 20 7382 8300

Blytheweigh (Financial PR)

Camilla Horsfall/ Megan Ray

+44 (0) 20 7138 3204

 

This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
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