15 Dec 2014 07:00
15 December 2014
W Resources Plc
("W" or the "Company")
Power On: La Parrilla Mine Connects to Spanish Grid
W Resources Plc (AIM:WRES), the tungsten, copper and gold mining, exploration, development and production company with assets in Spain and Portugal, announces that the La Parrilla tailings plant operations in the southwest of Spain is now connected to the national power grid.
Iberdrola, the Spanish electricity supply company, has now connected the electricity pylon to the national power grid. The switch from high cost diesel power to the low cost Spanish grid-supplied power will halve energy costs and savings are estimated at €400,000 annually.
Production rates at La Parrilla increased significantly, achieving target rates of around 1 tonne per day on a number of days during the second half of November following the installation and successful commissioning of new feed systems in early November. Strong interest has been expressed from a number of customers for 2015 supply contracts and deliveries continue to our European customers.
The La Parrilla mine now has an exceptional infrastructure position compared to other tungsten projects:
- Power supply and grid connection
- Road access 5 km from the main highway from Seville to Madrid
- Close proximity to major Atlantic and Mediterranean ports
- Water access
- Existing tailings dam
- Existing site offices and lab
This in-place infrastructure significantly reduces the all in costs at the La Parrilla mine development providing a major competitive advantage.
Michael Masterman, Chairman of W Resources commented: "It is a big milestone to have connected to grid power and switch-off the higher cost diesel generators. We now have the base of an exceptional infrastructure platform to drive forward the La Parrilla mine development at low capital cost. With this infrastructure base in place the team is actively evaluating options for an early start to mining."
"The team has worked hard in order to increase tailings production significantly with the new feed systems and we are pushing hard for materially increased production over the coming months."
Enquiries:
W Resources Plc | Grant Thornton UK LLP |
Michael Masterman | Colin Aaronson / Jen Clarke / Harrison Clarke |
T: +44 (0) 20 7193 7463 | T: +44 (0) 20 7383 5100 |
www.wresources.co.uk | |
SI Capital | Gable Communications |
Andy Thacker / Nick Emerson | John Bick |
T: +44 (0) 1483 413500 | T: +44 (0) 20 7193 7463 |
www.sicapital.co.uk | M: +44 (0) 7872 061007 |
About La Parrilla
The La Parrilla project site is situated in the Extremadura region of southwest Spain, in the Provinces of Caceres-Badajoz, approximately 310 km southwest of Madrid. The site is accessed directly from the highway along a 3 km asphalt road and is serviced by electricity and water. The project comprises a tungsten mine and a tungsten tailings project. The mine resource estimated by Golder in June 2013 is 46.92 million tonnes at 0.09% WO3, making it one of the largest tungsten deposits in the western world.