Operations at Zambia’s sole nickel producer, Albidon Munali mine resumed on July 1st 2011 after it experienced a tremor that affected its underground ventilation system resulting in the suspension of production of the metal.

A company official said that full operations have resumed at the 900,000 tonnes nickel producer after it was realized that the incident did not result in serious effects on the plant operations, although operations underground were suspended after a sink hole was created following the tremor.

The resumption of operations was undertaken after an independent consultation was undertaken and later the mine was declared a safe area for work to resume. However the mine management in collaboration with experts are still reviewing the production estimates for 2011. During the period, management decided to undertake routine maintenance at the plant while awaiting for experts to determine the cause of the incident and the effects on the mine production of nickel.

He said that we achieved 90% of what we had planned by mid-year and it is possible to recover the lost output. The mine is run by Australia listed Albidon, 50% owned by China’s Jinchuan Group and is expected to produce around 56,000 tonnes of nickel concentrate this year.

Albidon, which halted operations in mid 2008 at Zambia’s only nickel mine following a fall in metals prices resumed output early last year after China’s Jinchuan Group took over and invested USD 37 million.

(Filed by Mr Kapembwa Sinkamba SteelGuru Correspondent Zambia)