Alara Resources (ASX:AUQ) is expecting its first shipment of copper-gold concentrate from its 51%-owned Al Wash-hi Majaza Copper Project in Oman to now set sail on 27 May.
Shares gained 13.6% on the back of the news, closing yesterday (21 May) at $0.075.
Alara completed commissioning of the 1-million-tonne-per-annum copper concentrator plant in April with low-grade ore initially being fed into the plant to produce a low-grade copper concentrate.
The first shipment was originally expected to depart in April, but an issue with the tailing filter press (TFP), which de-waters processed tailings and recycles water, slowed the ramp-up phase.
Alara is working to secure an additional TFP to increase the plant’s operational hours.
The company has also been granted a renewal of its 497km2 Block 8 exploration licence, which has been pending renewal since 2013. The company has a 10% stake in joint venture company Awtad Copper, which owns the licence, with the right to increase its interest to 70%.
Managing Director Atmavireshwar Sthapak says the grant of a mining concession over Block 22B and the renewal of the Block 8 licence allow Alara and its partners to explore more than 1900km2 of ground in Oman.
The Al Wash-hi Majaza Copper Project is anticipated to produce 35,000 wet metric tonnes of copper concentrate each year for export.
Write to Angela East at Mining.com.au
Images: Alara Resources
