The share price of our long-term 'buy' tip Mwana Africa (MWA) advanced by 12 per cent on news that the refurbishment program at its Trojan Nickel Mine in Zimbabwe has been completed "on time and within budget".
Mwana believes it will be able to commence producing nickel concentrate during the second quarter of 2013 after the successful completion of the rehabilitation program at Trojan, including the testing of electrical and mechanical circuits at the mine. Management believe that the commissioning of Trojan heralds "a major milestone" in the restoration of it's nickel assets after a four-year period of care and maintenance. Eventually, Trojan is expected to produce 7,000 tonnes of nickel concentrate annually.
The positive beat on Trojan comes barely a fortnight after MWA formalised a joint venture agreement with Zhejiang Hailiang Company Limited covering 28 copper licences held by Mwana in the Katanga province of the Democratic Republic of Congo.
