Poor ore quality hampers Cobar's silver production target

Cobar Consolidated Resources (ASX:CCU) has fallen short of its target to produce 2.5 million ounces of silver by the start of this month.

ABC News reports that the company has encountered poorer ore grades than expected at its Wonawinta silver mine at Cobar in central New South Wales, scuppering its output projections.

Managing director Ian Lawrence says the company must make changes to improve the processing flow, and is reluctant at present to set new production targets.

The quality of the resource and reserves are still intact and we're moving through a de-bottle-necking phase with the milling operation to get us back on track to get to our target rates of through-put and to continue to develop the mining operation here.