LONDON, Jan. 16, 2018 /CNW/ - Meridian Mining SE (TSX V: MNO) ("Meridian " or the "Company") today announced 2017 production and sales results for Meridian's high-grade manganese project located in the state of Rondônia, in northwestern Brazil.
- Produced 51,580 tonnes of manganese product for year ending December 31, 2017
- Sold 48,943 tonnes of manganese product for year ending December, 31, 2017
- Completed the upgrade and commissioning of the Jaburi Plant
"In 2017 we substantially increased both production and sales of our high grade manganese product which a fantastic achievement considering we were upgrading the Jaburi plant for most of Q3 & Q4. During the upgrade, we had to rely on our older Rio Madeira plant." said Anthony Julien, President and CEO of Meridian. "With growing demand from both domestic and international customers, and an increase in pre-sales for 2018, the company's focus is to ramp up output from the Jaburi plant while improving the capacity of the Rio Madeira plant to meet our expanded sales commitments for 2018."
Production
Meridian produced 16,786 tonnes of manganese product in the fourth quarter of 2017 versus 13,326 tonnes in the fourth quarter of 2016, a 25% increase in production over the prior year period. Production for 2017 totalled 51,580 tonnes compared with 34,622 tonnes in 2016, a 48% increase over the prior year.
The construction of the Jaburi plant meant that for most of Q3 & Q4, the company was relying on production from the Rio Madeira plant. Construction of the Jaburi pilot plant and installation of all processing equipment is now completed.
Sales
Meridian sold 21,974 tonnes of manganese product in the fourth quarter of 2017 versus 19,592 tonnes in the fourth quarter of 2016, a 12% increase in sales over the prior year period. Sales for 2017 totalled 48,943 tonnes compared with 39,820 tonnes in 2016, a 22% increase over the prior year.
In addition, during the fourth quarter of 2017 Meridian announced on October 31, 2017 offtake and pre-payment for 38,000 tonnes of which 20,000 tonnes was pre-paid, with shipments to begin in January. The sales team continues to target speciality applications in the battery, fertilizer, welding and steel industries, which recognize a premium for the high quality of Meridian's product.
CIF Tianjin benchmark pricing for 44% manganese was US$6.92 per dmtu as of January 5, 2018 versus US$1.86 per dmtu as of January 4, 2017. (source: www.metalbulletin.com).
QUALIFIED PERSON
The technical information about the Company's production and sales activities has been prepared under the supervision of and verified by Carlos Braga (B.Sc., MBA, member of the Chilean Mining Commission), the Chief Operating Officer of Meridian Mining, who is a "qualified person" within the meaning of National Instrument 43-101.
ABOUT MERIDIAN
Meridian Mining SE is focused on the acquisition, exploration, development and mining activities in Brazil. The Company is currently focused on exploring and developing the Espigão manganese and gold projects, the Bom Futuro tin JV area, and adjacent areas in the state of Rondônia. The Company employs a two-pronged strategy with the objective of growing pilot production while advancing a parallel multi-commodity regional exploration program. Meridian is currently producing high grade manganese at its project located at Espigão do Oeste.
Further information can be found at www.meridianmining.co.
