BMR Group has confirmed that civil construction works for the Kabwe plant remain on track with construction scheduled to complete in the fourth quarter, ahead of the start of commissioning by the end of the year.
It said this was subject to equipment suppliers meeting their delivery schedules.
The group - which has raised £350,000 gross through a placing of 9,333,333 new ordinary shares at 3.75p apiece - said that provided construction and commissioning continued to remain on track, the directors still anticipated production would commence in the first quarter next year.
The company said it had requested Zambian Electrical Supply Commission (ZESCO) to supply a third 500 Kva transformer to ensure adequate capacity before plant commissioning. The group also announced that drilling phases 3 and 4 of the Kashitu large scale mining licence exploration programme had been completed.
BMR said: "Evaluation of the phase 3 results, based on assays carried out in-house by X Ray Fluorescence (XRF), reported selected grades of up to 40.64% of zinc and up to 18.52% of lead. The silver grades will be announced when they become available.
"Overall, while the phase 4 assay results for zinc grades were not of the same magnitude as those of phase 3, suggesting a 'tailing off' of mineralisation to the south east, the directors believe that they remain of interest as a potential ore-blending resource."