Transport and Logistics Challenges at the Bisha Mine Resolved: Nevsun

 With a production of 520,000 pounds of copper a day and with a capacity to move concentrates with 30 trucks a day to a port facility, Nevsun guaranteed to exceed the 2014 production guidance of 180 - 200 million pounds of coppers
With a production of 520,000 pounds of copper a day and a capacity to move concentrates with 30 trucks a day to a port facility, Nevsun guaranteed to achieve the 2014 production guidance of 180 – 200 million pounds of coppers

By TesfaNews,

THE transport and logistics challenge that was identified in early January at the Bisha mine is now resolved with the purchase of additional 45 trucks, Nevsun notified to shareholders during a Conference Call meeting conducted last week.

In the first quarter (Q1) 2014, the plant was forced to shut down for 13 – days to enable land transport supplier to catch up with production by trucking concentrates to the port of Massawa. That caused a production loss of around 6 million pounds of Copper. 

Nevsun said that it was poised to accelerate production during the current quarter and restated its 2014 production guidance of 180-million to 200-million of copper concentrate.  To stay in this schedule, however, the plant needs to produce 520,000 pounds of copper a day, averaging to 25 trucks in the service each day.

The transport contractor, however, deployed only 55 trucks for the task, averaging 21 trucks a day. According to Nevsun, the transport supplier probably underestimated the magnitude of the project that normally requires to work up to speed, 24/7 as it has been noted that it uses some of these trucks to do other jobs in the background. That caused a mismatch in the production and supply of the red metal with a 13 days plant closure.

Nevsun’s Eritrean partner, ENAMCO, intervened to resolve the matter with a quick order of 45 more trucks from China to make up a total of fully dedicated 100 transport trucks, averaging now up to 30 trucks in service per day.

With a greater capacity to move concentrates to a port facility in Massawa, the company believes that they are now in good shape to meet production guidance. “The intervention demonstrates once again how important the relationship with the state is to the success of Bisha mine,” stated Cliff Davis, CEO and president of Nevsun.

The CEO also said with the continued excitement on the newly discovered potentials in the VMS camp and the significant expansion upside in the existing deposits, he believes that another Bisha is entirely possible. He said the company will release these amazing results in June 2014.

Nevsun’s CRS record so far returns with an outstanding safety record that exceeds 17 million man hours without any lost time injury. CEO Cliff Davis comfortably said that no other mining plant in the world have claimed such safety record so far.

– – – – – – – – – – –
Nevsun Resources Q1 2014 Earning Results Conference Call can be heard HERE
– – – – – – – – – – –

11 thoughts on “Transport and Logistics Challenges at the Bisha Mine Resolved: Nevsun

  1. " Another bisha is entirely possible " LoL it sounds a perfect 23rd birthday gift happy birthday eritrea.

  2. No wonder here. whatever revenue the government got it re-invested it on the development of the mining industry back. The aim is to open 4 operational mines by 2016.

    With bisah operating, by the end of 2014 or early 2015, Zara would start producing Gold followed by the Asmara Project by the end of 2015 and Colluli Potash by the beginning of 2016.

    Technically speaking Eritreans and the economy really start to benefit from the mining after 2016. Till then, it is like rotating the money from right side pocket to the left side.

    Hang on Deqi Ere.

  3. Terrific! Can you imagine how many more Nevsuns will be in Eritrea 20 years from now? Hopefully, the arch enemy of Eritrea (Weyane) will be completely dead by then. I think they are almost dead now.

  4. i find is so funny that those people who like to comment on chit chat politics , disappear when it comes to good news from eritrea. eleelelelelelelel

    1. dear gobiye i was thinking the same like you say eziatom opposition party elom baelom tetemikom i call them hassadat party aynom tidefin they are evils they wish and dream is to see bad things amlak adinan hizbinan yibarikelna ember.

  5. Gibiye,
    That was a good observation. Every time they hear positive news about the country, their noisse dissappear and the room becomes quiet. Hope it will keep them shut with positive news.

  6. I'l tell you the government is really serving our people. It is easy and tempting to use the money into many things that Eritrea needs, like plenty of supply of fuel, correct the power shortage etc.etc. But, that would be a temporary relief. Instead the government looks further and REINVESTS into the major economy. Way to go "Sha'Ewya", as the Hasadat Weyanes would say.

  7. The sacrifices of our martyrs and the prayers of our past and present elders were not
    in vain …..the Providence is positively answering…what a delight!

    Happy 23rd independence anniversary!!!!

Comments are closed.