ZincOx releases update on Korean project

ZincOx Resources plc, headquartered in the U.K., has reported that Korean Recycling Plant (KRP), its wholly owned subsidiary, is in the final months of ramp-up stage to full production, which remains on target for the second quarter of 2014.

In a press release, ZincOx says its efforts, together with improvements in the zinc price, should result in 2014 becoming a turnaround year. The average London Metal Exchange (LME) zinc price for 2013 was $1,909, and “we have recently seen this price averaging $2,050 which can have a significant impact on the company’s earnings profile," the company says. 

Because of a number of repair requirements the company underwent at the plant in 2013, production was limited during November and December 2013. For the full year, production at the zinc operation totaled 24,577 metric tons.

Andrew Woollett, ZincOx executive chairman, says, “We are very satisfied with the recent performance of the blind flange concept, which enabled production to continue while one line of heat exchangers was repaired. The timing of the refractory repair in December was unfortunate as it stalled our ramp-up momentum, but this has already been re-established, and we remain confident of achieving targeted full capacity. We are looking forward to a very productive 2014 and also to a firmer zinc price, which recently seems to be responding to the planned closure of major zinc mines.”