I know very little about the mining business however if I were...

I know very little about the mining business however if I were the administrators in there current financed position I think I would be looking at using a portion of the 95 retained staff to restart production at the (1) most profitable copper mining location. As BB suggested previously they had too many "irons in the fire",

1.restart a specific productive/profitable Mt Garnet
operation
2.investigate the sale of non core assets to recapitalise
3.operate a smaller profitable portfolio in future

The figures below are from March 2010 to June 2011
Apologies as I could not cut and paste the table from
source,

Table 1 - KZL Production Summary
SOURCE: COMPANY DATA

Production summary (metal in concentrate)
Total Production
Copper (Cu) tonnes 5,933 6,767 5,226 4,604 3,867 4,520
Zinc (ZN) tonnes 15,709 7,119 8,475 8,823 10,669 10,115
Lead (Pb) tonnes 637 193 62 149 356 365
Nickel (Ni) tonnes 321 494 364 141 59 0

Mt Garnet Copper Plant
Copper Production tonnes 4,230 3,935 3,899 3,726 3,107 4,057
Copper Revenue US$/lb 3.86 4.09 3.90 3.11 3.04 3.15
Copper Cash Cost US$/lb 1.79 1.85 1.77 1.58 1.53 1.47

Mt Garnet and Thalanga Polymetallic Plant
Zinc tonnes 1 5,709 7 ,119 8,475 8,823 10,669 10,115
Copper tonnes 1 ,703 2,842 1,327 8 78 760 463
Lead (Pb) tonnes 6 38 193 6 2 149 356 365
Zinc Revenue US$/lb 1.00 1.02 1.01 0.94
Zinc Cash Cost US$/lb 0.74 0.81 0.85 0.64
Lounge Lizard
Nickel tonnes 314 494 364 141 59

(http://www.kagara.com.au/IRM/Company/ShowPage.aspx/PDFs/1526-50464995/BellPotterImprovementInitiativesBecomingEvident)