Hambledon Mining PLC
23 April 2008
HAMBLEDON MINING PLC
(AIM: HMB)
Sekisovskoye resumes full production
Hambledon Mining plc ('Hambledon' or the 'Group' or the 'Company'), the
AIM-listed gold mining and processing company operating in Kazakhstan, is
pleased to report that the replacement boiler at the processing plant at
Sekisovskoye has now been installed and gold production has been resumed.
The entire elution system has been redesigned, installed and commissioned with
the help of specialist boiler consultants. During the shut-down, the Company
arranged for independent industrial health and safety consultants to review
every aspect of the Sekisovskoye processing plant and, apart from some minor
documentary issues that have now been rectified, no deficiencies were reported.
All previously experienced commissioning problems, which principally concerned
peripheral crushing equipment, have been rectified and a stockpile of some
13,000 tonnes of crushed ore has been accumulated. A further stockpile of
approximately 137,000 tonnes of ore remains from before the closure.
Due to a much higher than normal content of clay-like material in the ore, which
tends to clog the sizing screens, the decision has been taken to crush to a
slightly larger size than planned. This is a short term problem that should not
continue as the mine deepens, but will result in temporarily lower throughput
through the main ball-mills. The impact on operations is difficult to forecast
precisely but, in the absence of any further commissioning problems, it is
expected that production during the next two months will be approximately 80% of
the production rate of 40,000 ounces per annum expected thereafter.
Mining operations are expected to re-start in May. At this time, the mining
fleet will be augmented with an additional Atlas Copco L7 blast hole drill-rig
and a Hitachi Zaxis 200 excavator fitted with a Montabert 900 rock-breaker.
The Company is continuing negotiations with its bankers for stand-by finance in
case it should be needed, whilst closely monitoring its cash and funding
position.
Nick Bridgen, Chief Executive of Hambledon, said:
'This has been a challenging period for the Company but all the issues have been
resolved and we are now looking forward to a sustained period of operating.
'We expect to make the first gold sales very soon and look forward to updating
the market on further progress.'
22 April 2008
Enquiries
Hambledon Mining plc Telephone: +44 7791 327 180
Nick Bridgen
Bankside Consultants Telephone: +44 20 7367 8888
Michael Padley / Louise Davis
Seymour Pierce Telephone: +44 20 7107 8000
Nicola Marrin
Note to editors
Hambledon Mining plc is an AIM-listed gold mining and exploration company, which
is operating the Sekisovskoye gold mine and the Ognevka processing plant, both
of which are close to Ust Kamenogorsk in East Kazakhstan.
At Sekisovskoye, the Company is mining from an open pit and has constructed an
850,000 tonnes per year treatment plant. Production from the open pit will
average over 40,000 ounces per annum. As soon as steady production has been
achieved, the Company plans to develop the much larger underground resource that
is expected to lead to a combined production rate of around 100,000 ounces per
year.
The Ognevka processing plant is producing concentrates containing gold, silver,
copper, iron and coke from the re-treatment of zinc smelter residues.
This information is provided by RNS
The company news service from the London Stock Exchange