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ASX-listed and Middle Eastern-based Alara Resources (ASX:AUQ) has today confirmed that issues on-site mean the company’s production of copper concentrate is now pushed out.
Alara had been targeting the sale of first copper this month from Al Wash-hi Majazza but infrastructure pains have caused the company to admit to shareholders patience will be needed.
The main culprit?: a tailings filter press “while operational has not performed to its design capacity.”
The news is probably enough to have C-Suiters tearing their hair out, given the currently booming copper prices (if you want to use “booming” a little bit liberally.)
Copper prices are up +15% MoM.
Engineers are currently working on the problem and the company is ready to revise its production forecast guidance; however, no word of that was delivered on Tuesday.
The good news is all other parts of the plant are sound.
“The copper concentrator plant was successfully commissioned, with low-grade ore initially being fed into the plant to produce a low-grade copper concentrate, with the intention of increasing the grade of the ore feed over the initial weeks of operation,” the company wrote on Monday.
AUQ last traded at 6.8cps.
