29 June 2007
LSE ANNOUNCEMENT
Monto Minerals Limited (the "Company")
ENTERING THE PRODUCTION PHASE...
- Plant commissioning under way at Goondicum industrial
minerals project
- First production mid-July
- Sales to commence second half calendar 2007
Monto Minerals' Goondicum industrial minerals project has entered the
production phase with commissioning of the processing plant.
The Company is planning to produce feldspar, ilmenite, apatite and
titanomagnetite for domestic and export markets from its
multi-product mining project in central Queensland.
Dry commissioning of mechanical equipment commenced on Friday 22nd
June and will be staged as various parts of the plant are
commissioned. Stockpiled ore will start to be processed through the
plant from mid July with commercial production achieved during
August. Mining began in February, the soft ore being easily accessed
from the surface by excavator and truck.
Announcing the commissioning today, Monto Managing Director Mr Geoff
Moore said: "Queensland will have an important new industry next
month. The Goondicum project will commence production from the
processing plant in mid-July and will be generating its first sales
revenue during the second half of this year."
The 35 km water pipeline has been completed and water is being pumped
to the site as the facility is commissioned over the next two weeks.
Water is being pumped from the company's licensed bore in the
Mulgildie Basin west of Monto.
Clearing for the power line has commenced and construction is
expected to be completed in the September quarter to be followed by
completion of the sub-station in October. Diesel generators are
powering initial operations until power is available from the network
provider.
Also under construction is the feldspar washing plant at Dakiel, 25
km from the mine. The plant is on track for completion in
September. Feldspar will be upgraded at Dakiel prior to sale.
Market development of the products is continuing. Commercial testing
of titanomagnetite as a coal washing heavy medium will commence next
month at a central Queensland coal washing plant. Installation of
grinding equipment for preparation of the titanomagnetite product at
the Goondicum plant has been deferred pending the successful
completion of the commercial test.
Following a visit by the Board of Monto to the Goondicum site this
week, Monto Chairman Mr Peter Slaughter said directors were pleased
with the progress in bringing the production and infrastructure
requirements of the project into operation in a timely manner.
"The multi-product strategy we have pursued over the last four years
has enabled us to bring on line an internationally significant
industrial minerals producer," he said.
"The Company is particularly grateful for the support of the Monto
community for which the project has economic and social importance.
Hiring of the local workforce has commenced with the engagement of
four supervisors, two tradespeople and 20 operators."
Enquiries to:
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| Geoffrey Moore | |
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| Monto Minerals Ltd | +61 (0)7 3034 3100 |
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| Rob Bain / Samantha Robbins / Duncan | |
| McCormick | |
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| Redleaf Communications | 020 7822 0200 |
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| Richard Brown | |
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| Ambrian Partners Limited | 020 7776 6400 |
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