IGR announces production resumption.
http://www.asx.com.au/asxpdf/20120622/pdf/426zhz6nyqjp30.pdf
Integra Mining Limited (ASX:IGR) advises that crushing activities at its Randalls Gold Project resumed late
Wednesday afternoon and milling recommenced shortly thereafter. The operation will steadily ramp to full
capacity over the next couple of days.
The crusher failure was caused by temporary low hydraulic pressure allowing the major internal
components of the crusher to come into contact resulting in burning-out the bush connected to the main
shaft. All damaged components have been replaced.
Additional measures have been implemented to ensure that the risk of further breakdowns are mitigated
including:
• Increasing the minimum ‘gap’ between the major component – the bowl and cone – from 10mm to
12 mm, and
• Installing an automated hydraulic pressure monitoring system which will isolate the crusher if low
hydraulic pressure occurs – further enhancements to this system are in-progress.
The Symons 7’ crushers used at the Randalls Gold Project are widely used throughout the mining and
aggregate industries and are considered very robust pieces of equipment. Integra expects the measures
put into place should ensure reliable operation of the tertiary crusher and achievement of production
guidance for FY2013.
To your point beat the market, IGR's reported outlook.
Due to the mechanical issues experienced during the quarter Integra expects to produce 12,000-13,000
ounces of gold at a cash cost of circa $1400 per ounce in the current June Quarter. It is not expected that
there will be any impact on future production and previous FY2013 guidance of 100,000 ounces at an
average cash cost of production of $850 per ounce is maintained. The higher costs are a function of
scheduling as higher cost stockpile and production from the upper portions of the Maxwells open pit (higher
strip ratio) are the main feed sources for the first three Quarters of FY2013. Costs are expected to reduce
to $750 per ounce towards the end of FY2013 as higher grade Majestic open pit production begins to
contribute in May 2013. Further, that order of cost should be maintained into FY2014 as higher grade open
pits such as Lucky Bay and Imperial come into the production schedule.