Corporate | 2 December 2011 08:35
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Deutsche Rohstoff AG / Key word(s): Miscellaneous
Deutsche Rohstoff AG: First Production of Tungsten Concentrates Heidelberg. Deutsche Rohstoff AG is pleased to announce the first tungsten concentrate production at their Wolfram Camp Mine in Australia. The commencement of mining and commissioning of the processing plant is now well advanced with the production of tungsten concentrate. Initial production and sale of first concentrate with shipment to the Global Tungsten Powders facility in the USA ( www.globaltungsten.com ) is on target for early January. Production output at the Wolfram Camp Mine will provide approximately 2% of the world's tungsten supply. The loan of USD 6.15 million, which was agreed in the supply agreement with Global Tungsten, has been fully invested into the project at this time. The price of tungsten concentrate remains stable at a high level. It is assumed, that Wolfram Camp will already generate a positive result for Deutsche Rohstoff group during the first half of 2012. As the ramp up from commissioning into full scale operations at Wolfram Camp continues, additional exploration efforts will be used to accelerate the expansion of the current JORC resource of 1.42m tons @ 0.60% WO 3 + 0.12% Mo. Deutsche Rohstoff AG believes there is excellent potential to increase the resource at Wolfram Camp both along strike and also at depth. Titus Gebel, CEO of Deutsche Rohstoff AG commented: 'Wolfram Camp is now our second project in production within 2011 and highlights our ability to deliver. This provides a strong platform for solid cash-flow and additional growth in 2012.' The market for tungsten is characterized by a sharp rise in prices in recent months. Experts expect consistently high prices over the next few years. Tungsten is one of the metals, which is categorized as strategically important by the German Federal Government and the EU Commission. Nearly 80% of the annual global production of about 61,000 tons (2010, pure tungsten metal content) comes from China. There are export quotas from China and a prohibition for foreign companies to explore or produce tungsten in China. Because of its hardness and the extremely high melting point of 3,422 degrees Celsius, tungsten is processed in the hardening of tools, the manufacturing of machine tools, as an alloying metal in the steel industry, for incandescent lamps, in the catalyst preparation as well as numerous other industrial applications. Deutsche Rohstoff AG (Heidelberg, Germany), listed in the Entry Standard segment of Frankfurt Stock Exchange, is establishing a new primary producer. The company's focus is placed on gold, oil & gas and so called high tech metals such as tin, tungsten, and rare earth metals. All projects are located in countries marked by political stability, the core area being Germany. The business concept is based on redeveloping deposits which have been well explored in the past. A first production started in Georgetown/Australia in January 2011. For more information please visit www.rohstoff.de. Heidelberg, 2 nd December 2011 Contact:
Thomas Gutschlag
gutschlag@rohstoff.de End of Corporate News 02.12.2011 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
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