Join our daily newsletter At The Bell to receive exclusive market insights
- New Century Resources (NCZ) can now increase zinc production after completing an upgrade of the rougher circuit at its Century Mine
- The company now plans to increase production by 33 per cent from 9 million tonnes per annum to 12 million tonnes per annum
- The upgraded rougher circuit was delivered under budget and four weeks ahead of schedule
- New Century’s share price is steady today with shares currently trading for 16.5 cents apiece
New Century Resources (NCZ) can now increase zinc production after completing an upgrade of the rougher circuit at its Century Mine in Queensland.
The company now plans to increase production by 33 per cent from 9 million tonnes per annum (Mtpa) to 12Mtpa over the remainder of the 2020 financial year.
The upgraded rougher circuit was delivered under budget and four weeks ahead of schedule and this achievement represents the third and final milestone of refurbishment activities required.
It is expected to provide a further increase to the overall zinc metal production with additional volumetric capacity allowing for both higher throughput rates and improved recoveries.
While the zinc production increases the overall cost of the unit will be reduced.
In addition to this rougher circuit upgrade, New Century is also bringing a fourth and final mining cannon online as part of the expansion to achieve the 12Mtpa.
Since taking over from the previous contractors in October 2019, New Century has increased the cannon production rate by 33 per cent, up from 3Mtpa to 4Mtpa.
During the December 2019 quarter, New Century produced record zinc production, up 7 per cent from the previous quarter to 28,123 tonnes.
The company now expects production guidance to be between 29,000 – 35,000 tonnes for Q3 FY20 and this is compared to just over 25,000 tonnes produced during Q2 FY20.
New Century’s share price is steady today with shares last trading for 16.5 cents apiece in a $105.2 million market cap.
