Ivernia to Place Paroo Station Mine on Care and Maintenance

Ivernia Inc. (TSX:IVW) announced that its management has authorized the winding down of operations at the Paroo Station mine. It will ultimately be placed on care and maintenance due to poor lead prices.

Highlights from the press release include:

• The LME cash settlement price of lead has fallen sharply over the fourth quarter of 2014 and is trading at 30 month lows.
• The Company’s cost saving measures and mine optimization plan have not been enough to offset the impact of the decline in lead metal prices.
• The Company will initiate a safe and orderly scaling back of operations as soon as possible and revert the operation to care and maintenance.
• This action has been taken in order to preserve and protect shareholder value.
• The operation remains in compliance with all operating permits and will be poised to return to full production once price conditions improve.

Wayne Richardson, president and CEO of Ivernia, commented:

Despite record production and sales in 2014 and the progress we have made to reduce costs and improve efficiencies at the Mine, the current LME lead price has dropped well below sustainable levels and cannot support profitable ongoing operations. In order to protect shareholder value and conserve the viable deposits of our ore body, the decision has been made to place the Mine on care and maintenance until further notice.

Click here to read the full Ivernia Inc. (TSX:IVW) press release.