Operations at Minara Resources Ltd.'s (MRE.AU) Murrin Murrin nickel plant have restarted following a failure last month but production will be up to 22% below previous forecasts, the company said Wednesday.

The company packaged 7,157 metric tons of nickel during the second quarter to June 30 and expects to produce 29,000 tons-32,000 tons over the full year, against previous guidance of 33,000 tons-37,000 tons in an April update.

The company blamed the shortfall on problems announced 30 June with Murrin Murrin's acid plant. Wednesday, Minara said a replacement heat exchanger has now been installed in the acid plant, the part of the facility where acid is run through ore to extract a nickel-rich solution.

Minara is 72%-owned by Glencore International PLC (GLEN.LN), which also owns 40% of the Murrin Murrin project.

-By David Fickling, Dow Jones Newswires; +61 2 8272 4689; david.fickling@dowjones.com

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