StratMin advances on production ramp-up

26th Mar 2013 08:22

Shares in AIM-listed graphite production and exploration company StratMin Global Resources advanced on Tuesday morning as the group unveiled an encouraging operational update, revealing production ramp-up in line with the management's expectations.The group, which has assets in Madagascar, reported that it had made a maiden shipment of 20 tonnes of flake graphite.It said that production ramp up had been progressing in line with management's expectations, explaining that StratMin's plans began with increasing the current capacity of around 180 tonnes per 20 day month to 300 tonnes, with the introduction of already purchased flotation cells and then 600 tonnes with an additional shift as part of ramp up.Investments of approximately $0.5m were recorded to improve plant throughput, product quality and specification and site infrastructure, the company said. Gobind Sahney, the Chairman of StratMin, commented: "From giving the green light to our mining contractors in Madagascar following the readmission to AIM at the end of January, we have made steady progress in ramping up and optimising our production capacity." Sahney added: "I believe we have made an excellent start on creating a valuable company that will deliver positive returns to shareholders in the near term and I look forward to updating them on our progress regular basis. In the meantime, I would like to thank shareholders for their support and encouragement."Stratmin Global Resources' share price was up 6.47% to 37p at 08:27 on Tuesday.MF