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'We look forward to having operations back up and running early in the new year'

Canada-based Hudson Resources (TSXV: HUD) says as winter approaches, it has decided to temporarily put its Greenland operations on ice “for technical production reasons”.
'We look forward to having operations back up and running early in the new year' 'We look forward to having operations back up and running early in the new year' 'We look forward to having operations back up and running early in the new year' 'We look forward to having operations back up and running early in the new year' 'We look forward to having operations back up and running early in the new year'

Hudson Resources’ White Mountain operations in Greenland, viewed from the fjord

Staff reporter

The company had made its first bulk shipment from the White Mountain anorthosite mine in August but less than three weeks later announced it was reviewing its business strategy, after its working capital was impacted by start-up, shipping and weather issues.

Hudson said it had a "significant volume" of new product in its warehouse.

It also said it had received its first purchase order, for 5,000 tonnes of its GreenSpar anorthosite product.

"It is the first of many to come as our product gets introduced into a number of furnaces and other applications around the world," president Jim Cambon said.

In terms of putting its Greenland operations on temporary care and maintenance, the company said cold rock entering the plant could influence iron extraction and product quality.

To address the issue, it's ordered a rotary drum dryer which is expected to arrive on site in late December.

"The introduction of the new rotary drum dryer in January will ensure that we can make our GreenSpar anorthosite to specifications on a very consistent basis year-round," Cambon said.

"We look forward to having operations back up and running early in the new year."

The company said it would provide updates on its strategic review process as they became available.

Hudson shares had hit a 52-week low on Tuesday of C26c, almost half the value of February's high of 48c.

They closed up 0.5c to 27.5c yesterday, capitalising it about $49 million (US$37 million).