Arabian American Development Co. (ARSD), which owns 37 percent of Amak, said notice has been issued to the surface facility operator that it will turn the facility over to them to begin operations on Nov. 28.
“The completion of the construction phase of the mine is a major milestone and signals that we are officially moving into the operating stage,” Nick Carter, president and chief executive officer, said in a statement.
Nesma & Partners Contracting Company Ltd., a subsidiary of Nesma Holding Co. Ltd., and the Chinese National Geological and Mining Corporation, carried out the construction work.
The site, owned by Amak, a joint venture including the Arabian American Development Company, based in Sugar Land, Texas, is expected to begin commercial operations in the second quarter of 2012.
Amak estimates the mine will produce 58,000 tons of zinc, 34,900 tons of copper, 375,000 ounces of silver, and 7,650 ounces of gold per year.
Carter also said the surface facility operator, China National Geological & Mining Corporation, is currently staffing the facility, training the personnel and getting ready for the operation, management and maintenance of the surface works of the mine.
“Between now and Nov. 28, Amak will be completing punch list items and preparing the plant to commence operations,” he explained.
Carter said underground development work is approaching the stage where sufficient ore will be produced each day to keep the plant running.
Additionally, Carter said the trucking, logistics and marketing efforts are also nearing completion.
“It is exciting to see the package coming together on what is essentially a brand new start-up venture,” said Carter.
“The ore processing facility is a complex mechanical and chemical operation that will have start-up glitches seen typically in the industry. However, management is doing all it can to prepare for a smooth transition to steady operations. Amak’s staff and board of directors continue to strive toward the goal of operating cash flows beginning in the first or second quarter of 2012,” he said.
The Arabian American Development Company owns and operates a petrochemical facility located in southeast Texas just north of Beaumont, which specializes in high purity petrochemical solvents and other solvent type manufacturing.
