View into trading halt pending announcement on Bronzewing

Shares in nickel and gold miner View Resources have gone into a trading halt, at the request of the company, pending a review of production and cash flow forecasts at the company's Bronzewing project in the Eastern Goldfields.

The company dropped 5.5 cents to 13 cents per share at close of trade yesterday, and said it expected to make an announcement about the project.

Yesterday, View announced that its Bronzewing gold mine was unlikely to meet a first quarter 2008 production target of 30,000 ounces, and it had suspended development of the nearby Calista mine to reduce costs.

View said January production was approximately 6,500 ounces compared to an expectation of around 10,000 ounces. The tonnes milled were close to budget but the reconciled head-grade was below forecast.

In response, the company has suspended underground capital development of the Calista zone, 8 kilometres west of the Bronzewing mill, and is looking for further operating cost savings across the whole mine site

The company's trading halt will remain in place until next Monday, February 11, or when the announcement is made.