Mariners now cash flow positive

摘要

An old adage is you reap what you sow. That being the case, Mincor Resources is about to see the cash flow rewards of 18 months' of major capital expenditure and hard work come to fruition. Nowhere is this transition more evident than at the company's Mariners nickel mine located some 50 kilometres south of Kambalda in Western Australia. Mincor took control of Mariners from WMC Resources Ltd in November 2000 and inherited an abandoned, flooded mine as part of the 38 million dollars deal. Also acquired in the deal was the company's flagship project -- the Miitel nickel mine -- along with the Redress nickel project and 15 km of prospective tenements in the heart of the Kambalda nickel province. In January 2004, more than three years after the deal, Mincor made a decision to dewater and redevelop Mariners at a cost of 15.5 million dollars. The redevelopment included the commissioning of a pipeline from the mine site to a nearby salt lake (Lake Lefroy) in order to dewater the underground workings. Following the dewatering, the decline was re-equipped with mine services such as electricity and ventilation in order to prepare for production.