Trigon Metal says its Kombat Mine is advancing towards achieving commercial production.
This was after its processing plant capacity increased to 350 tonnes per day.
The Canadian exploration and development company said it had resolved its working capital challenges that were affecting production.
“The Kombat Mine is advancing towards achieving commercial production. During this process, a number of challenges arose that were addressed successfully. A new loan facility was arranged, the processing plant capacity was increased to 350 tonnes per day and a second open pit, which will soon be yielding higher grade sulphide ore, was developed,” said Trigon Metal President and CEO, Jed Richardson, in a latest operational update.
“At present, the processing plant has the capacity to produce in excess of 350 tonnes per week. Production is constrained by mine production.”
The company has to date shipped 548 tonnes of concentrate.
“To date 1,103,312 tonnes of material have been mined including pre-stripping, 120,775 tonnes of ore have been mined at an average grade of 0.92% copper and 6.9 g/t silver. 34,762 tonnes of ore grading 0.85% copper and 10.97 g/t silver have been fed into the mill and processed, producing 861.4 tonnes of concentrate grading 19.75% copper and 271.3 g/t silver.”
“The mine is currently meeting its financial obligations from the sale of concentrates. Trigon is also in advanced discussions on the official sale of silver revenues in a streaming agreement that will bring in additional capital necessary to advance underground development.”
The miner also indicated that it has commenced mining in the Kavango pit, adding that the nature of the mineralization in the Kavango pit is more massive, larger higher grade mining blocks that are expected to allow for higher mining output compared to stringy highly variable vein swarms mined in the Central pit.
“Currently, highly oxidized ore is being mined at Kavango as the team benches down to the sulphide ore. The mill should start receiving higher grade, high recovery ore from Kavango in the next two weeks.”
According to the miner, the mine currently employs 220 Namibians both directly and as contractors, with an additional 80 women employed on a part-time rotational basis as part of the Company’s community garden agricultural development project.
Established in 1962, Kombat Mine was forced to shut down in 2008. At the close of 2021, Trigon resumed production at Kombat Mine following 14 years of closure.
Trigon last year entered into an agreement with IXM to acquire 100% of the production from the Kombat, in exchange for a US$5 million project finance facility for the restart of the mine.
IXM, owned by the listed CMOC group, is a global merchandiser of base and other non-ferrous metals, already active in Namibia.