Update on stalled Rocklands copper operation
Operational activities at the Cloncurry mine remain suspended indefinitely while the company attempts to restructure its finances.
CuDeco reported that it had recently refinanced convertible note facilities of almost $30 million with a secured convertible loan facility of $36 million with Gemstone 101 Limited.
The company is looking to secure long-term funding to support the Rocklands operation.
It said it was also continuing to work with Cobalt Blue for the commercialisation of cobalt and to reach a deal on reprocessing tailings.
Company shares remain suspended from trading and director Zhaohui Wu resigned last month.
The plan in the near future is to focus mining operations towards sulphide ores better suited to the site’s processing plant
“This will maximise copper concentrate production and cash flow generation during the next 12 months whilst affording the time to determine the optimal approach for the processing of gravity ore,” CuDeco said.
CuDeco reported that it had continued to stand down “non-essential” personnel during the quarter as Rocklands remained on care and maintenance.
“The priority at present is the retention of critical operational knowledge required for the recommencement of operations. Identification of key recruitment initiatives for the replacement of employees who have left the organisation is ongoing.”