Sierra Rutile reopening depends on funding

摘要

Sierra Rutile hopes to reopen its mineral sands operations in Sierra Leone next year, according to its chief executive, Brian Calver. The operations, approximately 120 km southeast of Freetown, were halted at the start of 1995 when they were overrun by rebel forces of the Revolutionary United Front. However, Mr Calver notes that a specific date for a resumption of mining is impossible to fix at the moment and warns that the main issue now is one of funding. He added that the company's lenders have commercial concerns, in addition to the obvious considerations regarding the politics and the security situation. A truce has been agreed but a permanent peace agreement has yet to be concluded. Mr Calver estimates that the cost of recommissioning the mine would be 80 million US dollars (MJ, April 19, p.285) and suggests that there is a need for a degree of compromise between the banks and the company's shareholders. Consolidated Rutile, of Australia, and Nord Resources, of the U.S., each hold 50 percent of the company.