Base metals producer New Century Resources has reported another solid quarter of production from its namesake zinc mine, in Queensland.
During the three months to September, New Century produced 33 633 t of zinc metal, which was down 2% on the previous quarter’s 34 363 t, with the company telling shareholders on Wednesday that production growth during the quarter had been hampered by mechanical issues in the ball mill circuit and a planned major maintenance shutdown.
Sales revenue for the quarter was up 38% on the June quarter, to A$74-million, while C1 costs also increased by 7%, to $0.85/lb. All-in sustaining costs for the quarter were also 7% higher, at $0.96/lb.
“New Century achieved solid operational cashflow and zinc metal production for the September quarter. It is particularly pleasing to see the strong quarterly exit rate, with recoveries and production rising due to resolved mechanical issues within the ball mill circuit,” said MD Patrick Walta.
“The company continues to focus on increasing metal production and lowering unit costs, which will drive further growth in earnings before interest, tax, depreciation and amortisation and cashflow in the December quarter and beyond.”
Walta said that the company saw opportunity for further improvement in the zinc price, with demand set to return in countries other than China as a result of infrastructure-focused stimulus packages in response to the Covid-19 economic downturn.
Source: Mining Weekly |
