The production of Bong Mieu mine was reopened in the central QUang Nam Province. Besra Viet Nam has celebrated the re-opening of its mine with a ceremonial underground blast yesterday. — File Photo

The event marks the return to operations by the property after it was shut down last November due to a series of severe weather events.

"We are very pleased to announce that Bong Mieu will now recommence operations after what has been a particularly difficult period in our company's history," said Besra CEO John Seton.

"Late last year we were hit with not one, but two typhoons, quickly followed by a severe tropical rainstorm, which destroyed the access road to our site at no less than five locations, as well as causing significant damage on site," he said.

"After more than six months of hard work by our staff and contractors, we will be recommencing mining operations shortly, with the plant and production ramping up to normal levels in the following months," Seton added.

Dewatering of the underground mine is at 95 per cent and will be fully completed within days. Forty-five employees are now working on site, and up to 300 will be called back on duty by the end of this month.

Mining equipment that had been temporarily transferred to Besra's other Viet Nam property at Phuoc Son, has been transported back to Bong Mieu for the return to operations.

Besra is continuing to pursue its US$4.5 million property loss and business interruption insurance claim lodged with the Bao Minh Insurance Corporation in Vietnam.

In April, Besra received a formal notification from the Vietnam Ministry of Finance that export tax assessments totalling US$12 million against Bong Mieu Gold Mining Company and Phuoc Son Gold Company have been repealed.

The company has invested more than $115 million in Bong Mieu and Phuoc Son (Besra Viet Nam) in Quang Nam Province. — VNS