OZ Minerals has confirmed that its Prominent Hill copper-gold project in South Australia will commence commissioning next month.
This follows the successful on-time commissioning of the Company’s Avebury nickel project in Tasmania. The first concentrate from Avebury was shipped to customers in August 2008.
The Company has previously indicated that expected production from Prominent Hill for 2009 is between 110,000 — 120,000 tonnes of copper in concentrate and 80,000 — 85,000 ounces of gold and no changes to this guidance have been made.
According to the CEO and managing director of Oz Minerals Andrew Michelmore, OZ Minerals’ closing share price on 15 September of $1.445 was well below the valuation of $3.80 – $4.40 per share determined by Grant Samuel & Associates in the Independent Expert’s Report prepared in May 2008 as part of the documentation for the Zinifex Scheme of Arrangement.
“One thing that is clear is that the inherent value of the Company’s assets has not deteriorated in the 4 months since the Independent Expert’s Report was published”, he said.