TVIRD completes delivery of copper concentrates

MANILA, Philippines - TVI Resource Development (Phils.), Inc. (TVIRD) has completed last March 20 its 13th shipment of copper concentrates produced at the Canatuan mine.

The concentrates were shipped from the TVIRD warehouse facility at Santa Maria Port in Siocon, Zamboanga del Norte in accordance with the offtake arrangement previously entered into between TVIRD and MRI Trading AG.

TVIRD expects to earn gross revenues of $9 million from the delivery of 5,214 dry metric tons of copper concentrates to MRI.

TVIRD said that Canatuan mine continues to achieve consistent operating throughput and concentrate production. The company expects future shipments of approximately 5,000 dmt each will occur every six weeks.

Previously, shipments occurred every four to six weeks.

In order to significantly reduce shipping and freight costs, TVIRD will be increasing the grade of the copper content for each metric ton of concentrate shipped.

With a fewer number of shipments in 2010, the TVIRD intends to sell a similar amount of metal content at a higher grade.

The offtake agreement provides that MRI will purchase all of the copper concentrates produced at Canatuan over the anticipated life of the sulphide operation.

After the 13th shipment, inventory of about 308 DMT remains in the warehouse.

Funds generated from the sale of the copper concentrates are expected to be allocated to budgeted capital and operations at Canatuan, exploration and development projects at Canatuan, Balabag and Tamarok, and debt service.