10/06/2008 - 08:56

Minara secures short-term gas supply

10/06/2008 - 08:56

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Minara Resources Ltd today confirmed that it has secured temporary gas supply and delivery arrangements for its Murrin Murrin operation following the fire which has disrupted gas supply from Apache Energy's Varanus facility.

Minara secures short-term gas supply

Minara Resources Ltd today confirmed that it has secured temporary gas supply and delivery arrangements for its Murrin Murrin operation following the fire which has disrupted gas supply from Apache Energy's Varanus facility.

The new gas supply arrangements are a temporary measure only and additional gas supply will need to be secured in order to allow the plant to operate at full production.

Production has been impacted by gas availability in line with many other industries in Western Australia and, based on recent announcements, restrictions on gas availability are expected to continue for some time.

Due to the uncertainty of gas availability, we have reduced our production forecast guidance for the year to 31,000-35,000 tonnes.

Also, upon plant restart over the weekend, one of the autoclave circuits suffered a rapid depressurisation event, resulting in some damage to associated piping, pumps and cabling. No injuries were sustained.

Minara CEO Peter Johnston said that securing alternative gas supply arrangements is a major step forward for Minara after the events of last week. This allows the operation to continue production, albeit at reduced rates.

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