Production cut back at Straits’ Nyngan mines
Wednesday December 3, 2008
A number of former Endeavor mine employees hoping to get jobs in the region with Straits’ Tritton operation have been dealt a blow, with the company scaling back its operations.
Operations at the company’s Murrawombie and Girilambone North mines, located near the main Tritton operation, were last week suspended.
Earlier this year the mine was planning a multi-million dollar expansion which included the Murrawombie and Girilambone sites.
Straits Resources chief executive officer Milan Jerkovic first announced plans to review the mine’s viability two weeks ago.
“The mine is marginal due to a halving of copper prices this year and we are prepared to make tough decisions on the mine’s future if conditions don’t improve.
“We’re not prepared to operate at a loss,” he said.
“The expansion to 35,000 tonnes per annum of copper production that was scheduled to be achieved in the first half of 2009 has been suspended and the immediate target will be to produce a minimum of 75,000 tonnes of ore from the Tritton underground mine and approximately 2,200 tonnes of copper per month,” Mr Jerkovic said.
“Straits will continue to monitor the financial performance of Tritton in light of the volatile commodity markets and aggressively pursue further cost reductions and efficiencies.”
Member for Barwon Kevin Humphries said the mine managers are trying to minimize job losses.
“(Mine manager) Mick Hanlon has done a superb job in offering employees who either fly in or fly out or drive back to Nyngan to work at the mine the option of whether they wish to live fulltime in Nyngan village and remain employed with Tritton copper mines,” Mr Humphries said.
He said under the new option employees would change roster to the more regular four days on four days off.
Next story | News home
