NMC Resources has increased production by 9% during the third quarter of 2011 at its Moland molybdenum mine in South Korea. The company produced 202.3 tonnes of molybdenum disulfide with a corresponding increase in mill head grade of 14.8%, to 0.31% from the previous quarter. Sales for the product increased by 129% from the same quarter in 2010, with NMC selling 206,857 pounds of molybdenum for a record US$2,849,620.
NMC’s president Yoo Sup Han says, “Results for the third quarter, particularly our recent high-grade discoveries, are promising in terms of our objectives to increase mine life and production profile at NMC Moland Mine. I applaud our mining team for such an efficient and productive quarter.”
The company announced earlier this month that two exploration holes at Moland intersected high-grade molybdenum over mineable widths and extended the deposit 40 metres west. Best results from these holes include 10 metres of 1.47% molybdenum sulphide and 15 metres of 1.09% molybdenum sulphide. Additional drill holes are currently in progress to trace west and southwest extensions of molybdenum mineralization. This program will also trace the down dip extensions of the main zone of molybdenum mineralization beyond the 217 metre level.
The company says the assay results support the existence of the high-grade molybdenum mineralization towards the west from the existing deposit. NMC intends to update the resource estimate to include the west extension of Moland and the recently announced high-grade discoveries at depth.
The Moland mine is about 170km southeast from the capital Seoul and has been in commercial production since April 2010. The mine’s crushing chamber is located underground and 100% of the water used in production is recycled. All tailings are used as cement making material.