Ceylon Graphite poised to resume production at its K1 mine in Sri Lanka
Posted on February 16th, 2021
Courtesy proactiveinvestors.com
“Production will scale over 2021 and beyond,” said Bharat Parashar, the miner’s CEO
Mining was interrupted mining twice in 2020/21 due to the coronavirus (COVID-19) pandemic
Ceylon Graphite Corp (CVE:CYL) (OTCMKTS:CYLYF) (FRA:CCY) has told investors it is set to resume output at its K1 asset in Sri Lanka now planned upgrades to the shaft have been completed, marking a return to normal operating levels before disruptions caused by the pandemic.
“Production will scale over 2021 and beyond,” said Bharat Parashar, Ceylon Graphite CEO. “The company expects, and has previously announced, it will reach a sustainable run rate of 5,000 tons per mine, with K1 being the first to hit that target.”
READ: Ceylon Graphite commits to ESG standards for its Sri Lanka operations
Mining at K1 was interrupted mining twice in 2020/21 due to the coronavirus (COVID-19) pandemic.
At the mine, new structural supports have been installed in the development drifts (tunnels) to 160 feet, while a new compressor and the ventilation systems have been improved, said the company.
The mine is now capable of achieving 5,000 tons of production per annum.
The company added that it also continues to develop its M1 and H1 mine sites, with both having already secured an exploration license.
As previously announced, the M1 mine is expected to achieve a full production license from the Geological Survey and Mines Bureau by the third quarter of 2021. Drilling at the H1 site is in full swing with both drilling rigs in operation.
Shares added over 7% in Toronto at C$0.44 on the day.