Adriatic Metals PLC (LSE:ADT1, ASX:ADT, OTCQX:ADMLF) appears confident it will hit nameplate production from the Vares polymetallic operation in Bosnia and Herzegovina in the final quarter.
It hit a first crucial milestone towards that target in February when the commissioning of the plant was completed to create the first concentrate.
Adriatic expects to make initial sales in the current quarter. As these concentrate sales continue, so the capital intensity of the project begins to diminish as cash flow comes into the business.
"As we ramp up production and continue our exciting exploration programme, we demonstrate our commitment to provide critical metals to Europe and build a sustainable modern mining company that will benefit all our stakeholders for many years to come," said managing director Paul Cronin.
His comments were provided alongside the company's first-quarter activity report.
Adriatic exited the quarter with cash of $46.7 million and earlier this month secured a further $25 million from mining finance group Orion. The first debt repayments on its loans are scheduled for the end of December.
The company said it had begun the process of taking over the Rupice mining operation at Vares after ending its mining service contract with Nova Mining and Construction.