Quadra Reports Third Quarter 2009 Production Results

 

VANCOUVER - Quadra Mining Ltd. reported the production results for the third quarter of 2009 from its three wholly owned mines, the Robinson Mine located in Ely, Nevada, the Carlota Mine located in Globe-Miami, Arizona and the Franke Mine located in northern Chile. Combined production was 44.3 million pounds of copper and 21,142 ounces of gold produced for the three months ended September 30, 2009.

Robinson produced 33.6 million pounds of copper and 21,142 ounces of gold during the third quarter of 2009. This was substantially on target, despite the mine not having full access to the Veteran pit hypogene until midway through the quarter. The hypogene ore in the Veteran pit is required for blending with the supergene ore from the Wedge pit to deliver concentrate grades and recoveries as planned. Mining of hypogene ore from the Veteran Pit resumed as expected in mid August, following implementation of additional slope monitoring and control measures as agreed with MSHA. The copper and gold production for the year is expected to be substantially in line with revised guidance of 130 million pounds of copper and 100,000 ounces of gold.

Carlota produced 6.6 million pounds of copper during the third quarter. This was expected and in line with previous quarters. Production was again below mine plan estimates in part because of lower than scheduled ore mined and in part because of lower than anticipated flow rate through pad material. Ore mined was affected by additional work required on the ultimate pit wall above the Pinto Creek Diversion, which required the reallocation of mining equipment to complete the diversion on schedule, delaying access to higher grade ore. During the quarter higher grade mixed oxide and chalcocite bearing ores at the top of the Cactus pit orebody were encountered. Weathering and alteration features of this mixed ore have continued to show slower than planned percolation rates due to fines. We believe this zone to be a feature of the top of the ore zone, as prior testwork below in the main portion of the orebody did not indicate percolation or recovery challenges. Review of existing drill logs and additional drilling are in progress to further evaluate this issue.

Franke continued to ramp up with first copper harvested in July and a total of 4.1 million pounds of copper cathode produced in the quarter, virtually all of it LME grade A. While the primary crusher feeder design continues to limit production, the operating team has managed to increase throughput to the point where, with the portable crusher now on site to supplement the installed crusher, Franke should be able to approach design ore capacity during the fourth quarter of 2009. A redesign of the feed system is in progress. The pond issues are substantially resolved and are not expected to impact ramp up. Copper production in the last quarter is expected to be in the six to eight million pound range.

In association with finalizing plant modifications, Franke is actively pursuing all permits required to move from construction and start-up to full commercial operating status. This process is expected to be completed by the end of 2009.

The company’s address is Suite 2414, Four Bentall Centre, 1055 Dunsmuir Street, P.O. Box 49185, Vancouver, BC V7X 1K8, 604-689-8550, fax: 604-689-8556.