Xstrata ramps up zinc production at Australian mine

Xstrata Zinc this morning said ore production would jump a further 33 per cent at its Lady Loretta mine in Australia.

The miner’s zinc arm said production would hit 1.6m tonnes a year at the Queensland-based mine by 2016, which started production in September.

The FTSE 100 miner has spent A$362.2m (£232.7m) on Lady Loretta so far.

"The expansion project will allow the earlier recovery of resources from several of Lady Loretta's upper ore bodies and will increase the number of stoping levels available in the underground mine in future years," Brian Hearne, chief operating officer of Xstrata Zinc Australia, said this morning.

"To achieve this, we are investing in larger ore handling facilities, increased mobile and fixed plant equipment including an expanded ventilation system, more village accommodation and utilities upgrades."