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Mirabela Goes Into Administration

  • Friday, September 25, 2015
  • Source:ferro-alloys.com

  • Keywords:Nickel, Mining, Mirabela
[Fellow]ASX-listed Mirabela Nickel on Friday announced the appointment of administrators as tough market conditions persisted.

ASX-listed Mirabela Nickel on Friday announced the appointment of administrators as tough market conditions persisted.

Mirabela told shareholders that the administrators would seek to progress discussions with financiers to put in place funding arrangements or restructuring options to alleviate the liquidity challenges currently being faced by the company’s Santa Rita mine, in Brazil.

The miner said that the continuing decline in nickel prices had eroded the company’s financial position, necessitating the appointment of the administrators.

In August this year, Mirebela announced that mining operations at Santa Rita would slow down in order to combat the depressed nickel price environment by reducing operating costs.

The material movement was limited to feeding the gyratory crusher from exisiting ore stockpiles and broken ore from the pit, which had been expected to provide the project with up to two months of steady plant feed.

Mirabela said on Friday that despite the appointment of administrators, the Santa Rita mine would, for the moment, continue with its normal operations, including mining, processing, nickel concentrate production and sales to its regular customers.

  • [Editor:Juan]

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