Ormonde Mining is targeting first production from its flagship project in western Spain by end of next year.
The Co. Meath-headquartered prospecting firm recently hinted commercialisation of the long-awaited, but potentially lucrative, Barruecopardo tungsten mine near Salamanca was likely to be delayed until next year.
However, recent test drilling results also suggested the natural life of the mine should be extended from nine years to around 14 years.
The delay was down to a local government administrative appeal relating to a compulsory land acquisition process.
Ormonde said, this week, that the matter has been resolved, but commissioning of Barruecopardo will now take place in late 2017.
Ormonde yesterday reported a turnover of €527,000 for 2015. The company also generated a profit of €2.44m last year, a turnaround from a €1.6m loss the previous year.
Ormonde’s chairman Mike Donoghue said the past year has been a successful one for the company, having achieved a $100m financing package for Barruecopardo in “a very difficult funding market for mining projects”.
Tungsten prices have seen an upturn of late, with Barruecopardo’s importance more notable given global supply has been constrained by the eight largest tungsten producers in China cutting back on production levels.
Ormonde also said that its Salamanca-Zamora gold exploration projects are being maintained in good order, while it continues to explore avenues to offload its La Zarza copper and gold project in the south of Spain.
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