Wolf Minerals Q1 Growth Hampered by Cold

Wolf Minerals (ASX:WLF) released their Q1 results along with an update on progress at its Drakelands open pit mine at the company’s Hemerdon tungsten and tin project in Devon, southwest England. Despite the extreme cold that blanketed England during the early part of the first quarter tungsten production was up 40 percent over the last 12 months. During the same period tungsten prices continued to strengthen, up 13 percent during the quarter and currently sitting at US$325 per mtu. Wolf Minerals also put financing arrangement in place to support their efforts for long term self-sustaining cash flows. With a new managing director and a finalized settlement agreement on Hemerdon Project EPC contract reached with GR Engineering Wold finished the quarter on a high note.

As quoted in the press release:

“A very encouraging start to 2018, with the improvements to the gravity fines circuit and the return to 7 days a week operations providing an increase in throughput before mother nature intervened in March with snow and freezing temperatures across the UK. This new challenge delayed production whilst safety, access, and equipment protection were prioritized and supply chains reestablished.

Subsequently, with the ore feed continuing to get harder, optimization activities have resumed to focus on tungsten recovery, concentrate quality and waste minimization to improve operating cash flows.

The tungsten price has continued to build upon the strong 2017 performance, rising further to US$325 per mtu in Europe and China followed by balanced market conditions in March,” said Richard Lucas, Wolf Minerals managing director.

Click here to read the full quarterly activities report