Jericho Diamond Mine Suffering from “Operational Issues”
October 12, 06
Tahera says that its Jericho diamond mine in Canada continues to experience “operational issues”, failing to reach the nominal design production rate of 2,000 tons per day.
The mine’s process plant is also behind, with a reported throughput rate of about 1,700 tons per day, or approximately 85 percent of nominal capacity. Tahera's longer-term goal is to achieve an average processing throughput rate in excess of 2,000 tons per day.
The average grade of kimberlite mined and processed to date is approximately 25 percent lower than forecast. The company blamed low producing on the shortfall in tons processed and the lower than anticipated grade.
Not clear if related to the mining problems, Tahera announced that it is assessing additional financing arrangements to meet requirements in the first quarter of 2007, when it purchases fuel and other bulk supplies for the full year. The Company is also discussing the deferral of certain payments due to Tiffany & Co. with respect to the existing credit facility.