VANCOUVER, BRITISH COLUMBIA--(Marketwired - March 31, 2014) - Based on conversations with CML management, Palladon Ventures Ltd. ("Palladon" or the "Company") (TSX VENTURE:PLL) is pleased to provide the following update for CML.
Palladon is pleased to announce that after a period of ramp-up and testing, CML has brought its new Hyperbaric Filter ("HBF") units on-line and reached sustained iron ore concentrate production. As a result of bringing the HBFs on-line, the Company has increased its concentrate production by over 25% to a run rate of nearly 2 million tonnes per year. As a result of these higher production levels, CML has also increased the number of 90-car unit trains from three to four per week.
The successful ramp-up of the HBF units has now enabled CML to completely shut down the gas-fired rotary drying system, reducing its costs per ton substantially and increasing plant uptime to design availability. As the HBFs are operating much more efficiently than the previous dryer systems and maintenance costs are significantly reduced, CML implemented a workforce reduction of 24 positions last week. The Company is now able to optimize and adjust the plant to gain additional efficiencies as the concentrate facility will run on a 24-hour basis.
Changes at the plant have increased the average Fe grade to approximately 65.5% at the current time. Further balancing is now occurring at the plant to achieve improvement in Fe grade to 67%. Moisture levels are within specification and running at approximately 7%.
In the weeks ahead CML will continue making adjustments to its operations at Iron Mountain and at the port facilities in Long Beach, facilitating the efficient production, transportation and shipment of 2 million tonnes of iron ore concentrate annually.
John Cutler, CEO of Palladon, commented: "With the successful commissioning and ramp-up of the hyperbaric filters, CML is now realizing its short-term objective of producing high-grade iron ore concentrate at the rate of 2 million tonnes per year."
About Palladon Ventures Ltd. Palladon owns a significant minority interest in CML, which is focused on advancing the Iron Mountain project, an iron ore mine located west of Cedar City, Utah.
Disclaimer for Forward-Looking Information: Certain statements in this release are forward-looking statements, which reflect the expectations of management. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a downturn in general economic conditions in North America and internationally, (2) the inherent uncertainties and speculative nature associated with mineral exploration and production, (3) a decreased demand for minerals, (4) any number of events or causes which may delay or cease exploration and development of the Company's property interests, such as environmental liabilities, weather, mechanical failures, safety concerns and labor problems; (5) the risk that the Company does not execute its business plan, (6) inability to retain key employees, (7) inability to finance operations and growth, and (8) other factors beyond the Company's control. These forward-looking statements are made as of the date of this news release and, except as required by law, the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statement.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.