The Australian Securities Exchange suspended the emerging Northern Territory producer for failing to lodge its half-yearly report on time. 

 

With the paperwork filed yesterday, and the company announcing "practical completion" of the purchase of the 75% share of the Peko project owned by its partner, it resumed trading this morning.

 

While Elmore doesn't actually own the Peko tenements yet, it has paid an initial A$400,000 and has had "in practice" full decision-making authority and all responsibilities since last year, although it needs an official okay from the NT government.

 

Managing director David Mendelawitz said the outstanding stamp duty assessment was "only a matter of time".

 

"I am very pleased to be moving into this next phase of development with Elmore. We have had a long list of activities to undertake under difficult circumstances, both corporately and operationally, and I'm extremely pleased to confirm completion of this major milestones," he said.

 

Despite operational challenges due to adverse weather last year, it has continued to optimise the plant, increase production, and successfully exported its first shipment of 65% magnetite to China under an offtake agreement with Royal Advance.

 

Around 30,000t for the second shipment about to be loaded.

 

Pricing has been set at a base $202/t.

 

Corporately, having solved the "differing of opinion" over its audited accounts, Mendelawitz said Elmore now hoped to finalise refinancing of $30 million in vendor finance, and is confident it can be completed as debt or royalty-based on favourable terms.

 

Mendelawitz said the company expected to reach its magnetite production target of a rail constrained 350,000tpa in the near future. 

 

The magnetite is being recovered from tailings at the Peko mine, 10km outside Tennant Creek.

 

There are some 3.75Mt of dry-stacked tailings remaining from the historical Peko mine and nearby mines including Warrego, Gecko, White Devil and Orlando between the 1930s and 1990s.

 

Cobalt recoveries are expected later this year.

 

Elmore shares were 1.9c this morning, valuing it at $27 million.

 

It has traded in a range of 1-5.6c over the past year.