?Our 2011 production guidance of 33,000 ? 37,000 tonnes of nickel produced at Murrin Murrin reflects the benefit of the substantial completion of key de-bottlenecking projects at the processing plant in 2010, including the high density slurry project and the sixth nickel reduction autoclave project. The benefits of these capital investments should be realised over many years to come. ?Additionally, the development of the project‟s third major ore-body known as Murrin Murrin East will introduce a new source of high grade ore. Processing of this ore is scheduled to commence in the first half of 2011. ?The expected increase in production in 2011 should flow through to reduce unit costs per pound. We continue to focus on the basics, that is safety, cost control and increasing production.?
The introduction of the 6th autoclave unit should boost previous production figures by around 15%. With the added benifet of the increased nickel content from Murrin Murrin east ore body. I think Mr Johnstones estimates were made on the conservative side stated in this report.
I love the HPAL technology and have been a fan of this company since ANL. PJ also claimed that production had a great start for the year. Maybe they were already ahead in production?
MRE Price at posting:
80.5¢ Sentiment: Buy Disclosure: Held
