NWR Moves Forward with Optimization Plans, Acquires Stake in Ferrexpo
Mike Salamon (left) executive chairman NWR, and Klaus Dieter Beck, chairman and CEO, OKD.
Czech coal mining company, New World
Resources (NWR), which will produce 12.8
million metric tons (mt), announced that
its investment program, Productivity Optimization
Program (POP 2010), continues
to progress according to plan. “The POP
2010 program at our Czech operations is
on track and we have also commenced
preparation works for shaft site drilling at
our Debiensko development project in
southern Poland,” said Mike Salamon,
executive chairman, NWR. The company
will drill two 100-m deep boreholes as well
as a 1,400-m hole, an important steps in
the final feasibility study for Debiensko that
will show the geological, geotechnical and
hydrological issues NWR will face during
shaft sinking. Of the Phase I development
sections, all four roadheaders and both drill
and load equipment sets are in operation
and performing as expected and thus outperforming
the old equipment sets. Phase
II has been initiated and the first roadheader
has already been delivered. The
next three sets are currently being manufactured.
Of the five Phase I longwall sets,
three are in operation and performing as
expected. The fourth is in the final stage of
underground installation and the fifth is
being delivered underground.
NWR also announced that it would
acquire approximately 25% of of Ferrexpo,
a deal valued at GBP 126.6 million. “The
acquisition is consistent with NWR’s strategy
of continuing to expand its reserve
base and long term production by actively
seeking growth opportunities in Central
Europe and other markets which complement
NWR’s current operations,” said
Salamon. “This transaction will provide
NWR with a significant shareholding in one
of CEE’s largest iron ore pellet producers.”
Ferrexpo is a Swiss-headquartered resources
group and controls one of Europe’s
largest iron ore resources—6.5 billion mt
of JORC resources plus approximately 14
billion mt of further Soviet-classified resources
in Ukraine.
As featured in Womp 08 Vol 10 - www.womp-int.com