Lennard Shelf to stop production

Teck Cominco Limited, a Canada based diversified mining company and Xstrata Zinc, one of the world’s largest producers, has closed the joint venture Lennard Shelf Pillara mine in Western Australia. The partners expect to cease the operation by early next month.

Lennard Shelf is a 50/50 Joint Venture between Teck Cominco and Xstrata. The Pillara mine, which was reopened in April 2006 has become uneconomic, primarily due to the sharp decline in zinc and lead prices compounded by the appreciation in the Australian dollar.

The production from the mine was started in early 2007. In the period to 31 December 2007, the operation produced 42,100 tonnes of zinc metal and 12,400 tonnes of lead metal.

Dewatering of the Pillara mine will be discontinued following de-commissioning and the plant and surface facilities will be placed on care and maintenance until a decision on the long term future of the assets and tenements is taken.