Medusa Mining Limited

Medusa Mining Limited

October 23, 2013 05:02 ET

Medusa Mining Limited: SAG Mill Update

COMO, WESTERN AUSTRALIA--(Marketwired - Oct. 23, 2013) - Medusa Mining Limited (ASX:MML)(LSE:MML)("Medusa" or the "Company"), through its Philippine operating company Philsaga Mining Corporation, wishes to announce the following:

As advised on the 4th September 2013, the Powercells that were used to start the SAG Mill motor failed after commissioning. The Vendor recommended that the Powercells be returned to China for repair and that a new set of Powercells be ordered at the same time as insurance spares.

The timetable given to repair the Powercells was approximately 15 days and to manufacture new Powercells was 45 days. The Company has just received advice from the Vendor that the repaired Powercells would be ready to ship back to the mine site on the 4th November 2013 and the new Powercells would be ready to ship to the mine site on the 30th November 2013.

The repaired Powercells need to clear customs, be transported to site, installed and tested. This is estimated to take two to three weeks.

As a consequence of this delay from the Vendor, the production for the December quarter will be reduced, however it is difficult to quantify this until the SAG mill is operating.

As both mills can be operated at the same time, and to maximise production during the SAG mill commissioning period, the current mill will continue operating until the new mill is running at 2,500 tonnes per day.

ABN: 60 099 377 849

Contact Information

  • Australia
    Medusa Mining Limited
    Peter Hepburn-Brown, Managing Director
    +61 8 9367 0601

    United Kingdom
    SP Angel Corporate Finance LLP (Financial Adviser & Broker)
    Ewan Leggat/Laura Littley
    +44 (0)20 3463 2260