Sydney, July 17, 2008 AEST (ABN Newswire) - Tamaya Resources (ASX:TMR)(PINK:TMAYF) is pleased to update shareholders on developments at the Punitaqui Division in Chile.
Mine production and grades continue to show a pleasing trend, with mined production up more than threefold in June 2008, from levels achieved twelve months earlier. This confirms the successful implementation of a new mine plan, with substantially increased development metres to prioritise development of higher grade stopes.
Plant production has shown a positive trend since the beginning of 2008, and while plant availability does require improvement, the company has committed to an upgrading of maintenance functions and capabilities that will drive improvements in availability. This is expected to show results during the second half of the year.
The installation of Mill 10, the second of the large 14' x 19' ball mills, will commence by the end of July and is expected to be commissioned into production after a three month project schedule managed by a Chilean engineering contractor. While Mill 10 will not be operating at full capacity due to a bottleneck at the filters (to be addressed as part of our Project 4000 in 2009), an additional 300-500 tonnes throughput per day will pay for the project in fewer than three months at current prices.
Cash costs have reduced to US$2.15/lb in June, a reduction of 10% on the level demonstrated in the March quarter. Improvements in mill availability and throughput should continue to drive cash costs to lower levels in the coming months.
The positive trend in Punitaqui performance is expected to be continued in the September quarter, and further updates will be made when available.
Contact
Hugh Callaghan
Executive Chairman
Tamaya Resources Limited
Investor Relations:
Radar Investor Relations
TEL: 1 800 688 788
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