9 May 2013 09:35
9 May 2013
W Resources Plc
("W" or the "Company")
W Resources Commences La Parrilla Tailings Development
W Resources (AIM:WRES), the tungsten and gold exploration and development company, has secured key plant to construct the La Parrilla tailings processing facility at its La Parrilla site, located in southwest Spain.
The overall facility at La Parrilla tailings comprises two components: a pre-concentration plant to handle and screen the ore; and the concentration plant that will refine the tailings to the final tungsten product.
W has successfully acquired pre-concentration plant at an estimated installed cost of €350,000 from an existing facility in Spain.
This pre-concentration plant will be installed at the La Parrilla tailings site over the next four to five months and has a rated capacity at twice the design capacity required. Procurement of the metallurgical components of the second phase of the concentration plant is also well advanced with orders placed for key long-lead equipment.
Michael Masterman, Chairman of W commented: "We are off and running with procurement and construction of the La Parrilla Tailings facility. Securing this plant at a very competitive price allows us to keep costs low and the tailings facility will be on track for completion and first production in the second half of 2013."
Enquiries:
W Resources Plc | Grant Thornton Corporate Finance - Nomad |
Michael Masterman | Gerry Beaney / Melanie Frean / Jen Clarke |
T: +44 (0) 20 7193 7463 | T: +44 (0) 20 7383 5100 |
www.wresources.co.uk | |
Simple Investments - Broker | Gable Communications |
Andy Thacker / Nick Emerson | Justine James |
T: +44 (0) 1483 413500 | T: +44 (0) 20 7193 7463 |
www.simple-investments.co.uk | M: +44 (0) 7525 324431 |
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 3km asphalt road and is serviced by electricity and water. The project comprises a tungsten mine and a tungsten tailings project. The historic mine resource estimated by SRK in 2008 is 36.0m tonnes at 0.09% WO3, making it one of the largest tungsten deposits in the western world.
With the final approvals granted at the La Parrilla tailings project in January 2013, by the Mining Department of the regional authority of the Junta de Extremadura, the Company is targeting first production in H2 2013. Annual plant feed will be 330,000 tonnes and annual production is anticipated to be 28,000 MTU Tungsten (W) and 26 tonnes Tin (Sn), which will deliver over €7million per annum in revenue at current tungsten and tin prices.
The price of tungsten has increased rapidly over the last 3 years by more than double. The La Parrilla tailings deposit and tungsten mine development offer a low cost, high margin resource development opportunity for W Resources.
W Resources Plc changed its name from Caspian Holdings Plc in July 2012, to align with its revised strategy focussing on projects in the mining sector.