Minara Resources Swings to First-Half Profit, Plans October Plant Shutdown

LONDON, Aug. 31 -- Minara Resources Ltd., which turned to a first-half profit, plans to shut down its Murrin Murrin plant in Australia in October for scheduled maintenance.

Net income for in the six months to June 30 was A$39.3 million ($35 million), from a A$3.1 million loss a year ago, Australia’s second-largest nickel producer said today in a statement. Revenue rose 23 percent to A$233.7 million.

Production from Murrin Murrin in Western Australia was crimped by a May 25 pipeline failure, which cut nickel output by 7 percent to 14,512 metric tons. The Perth-based company is forecasting full-year production “at the lower end” of 30,000 to 34,000 tons of nickel.

“The guidance takes into account the impact of the pipeline failure and the budgeted triennial major plant shutdown scheduled for October,” the company said, without saying how long the operations will be closed

Minara fell 1.3 percent to 73.5 cents at 10:14 a.m. Sydney time on the Australian stock exchange.

Glencore International AG, the world’s largest commodity trader, owns 40 percent of Murrin Murrin and 70.63 percent of Minara.