Alphamin Resources suspended mining at its Bisie tin mine in DRC due to threats from insurgent groups. All non-essential staff were evacuated, prioritizing safety. The company experienced a significant drop in share value and reported conflicts causing fatalities and mass displacements. Alphamin looks forward to potential peace talks and plans to return to operations when safe.
Alphamin Resources has ceased mining operations at its Bisie tin mine in the Democratic Republic of Congo due to the advance of insurgent military groups threatening the site. The Toronto-listed company issued a statement indicating that these militant factions have moved westward towards the mine, having recently seized control of nearby towns, including Nyabiondo and Kashebere.
In light of these developments, Alphamin announced the evacuation of all non-essential mining staff, retaining only those necessary for maintenance and security purposes. The company emphasized that ensuring the safety of its employees and contractors is its utmost priority, which is currently not feasible given the prevailing security situation.
As a result of this evacuation, Alphamin’s shares dropped by 20%, marking a staggering 41% decline over the past six months. The United Nations reported significant human tolls, with many casualties and massive displacements attributed to ongoing conflicts involving the Congolese armed forces and rebel groups, including the Rwanda-backed M23.
Amid these challenges, Alphamin expressed optimism regarding upcoming peace talks scheduled to take place in Angola on March 18. The company has taken steps to secure U.S. diplomatic involvement by appointing a U.S. firm for lobbying efforts, recognizing the precarious security landscape.
The firm remains vigilant in monitoring developments and intends to return personnel to the mine and resume operations when conditions allow for a safe environment. Additionally, the company is evaluating the impact of this operational suspension, which has delayed its annual financial results originally set for release on March 14, although it anticipates no significant delays in filing.
The current conflict marks a significant setback for Alphamin, which was poised to achieve record production from Bisie this year, following an 11% year-on-year increase in output in the last fiscal year. The company aimed to reach a production target of 20,000 tons in 2023, contributing substantially to global tin supply once processing of new ore from the Mpama South site is fully engaged.
Alphamin Resources has halted operations at its Bisie mine due to security threats from advancing insurgent groups. The company prioritizes employee safety amid escalating violence in the region while remaining hopeful for peace talks. Despite the operational suspension impacting financial reporting, Alphamin’s successful performance prior to the conflict underscores its potential for future growth once stability is restored. The company intends to monitor the situation closely and resume activities when possible.
Original Source: www.miningmx.com
