Goldplat plc, the AIM quoted gold producer, is pleased to provide an operations update for its gold recovery businesses in South Africa and Ghana and its Kilimapesa gold mining project in Kenya, which is approaching commercial production and will positively impact the Company's FY2010 gold production.
Goldplat's CEO Demetri Manolis said, "The processing operations in South Africa and Ghana are generating significant cash through the optimisation and expansion of the recovery plants. We are delighted by the progress being made and will, according to our business model, look to utilise this cash flow to expand our project portfolio into primary production projects. Accordingly we are evaluating additional opportunities that we believe have the potential to materially impact the Company's performance moving forward. Furthermore we are excited about the advancements being made in Kenya and look forward to receiving the go-ahead for commercial production in Kenya , which will contribute positively to our financial performance when operational."
South Africa : Goldplat Recovery (Pty) Ltd ('Goldplat Recovery') - Gold processing operations continuing to perform strongly
Goldplat Recovery is progressing well with the operation continuing to develop strong cash flow. The design work for an intensive cyanidation plant to leach the gravity concentrates and load gold onto carbon for elution is finished and instillation is due to commence imminently. As a result of this, the Company will predominantly sell its gold in the form of a bullion bar, instead of in concentrates, which will result in significant cost savings in transport and processing costs. Furthermore, this will improve the cash flow as bullion is paid for within a few days compared to a few months for concentrates.
Additionally, in line with the Company's expansion plans, Goldplat Recovery is reviewing opportunities to acquire a mining asset to expand production into the primary gold producing sector.
Ghana: Gold Recovery Ghana Limited ('GRG') - Gold production increasing and development proceeding according to plan
In Ghana , progress remains strong and on track. The incinerator has been commissioned and has produced ash with grades exceeding 600 g/t gold from relatively low grade material.
GRG is also progressing with the design and purchase of an elution plant, which will enable it to export bullion rather than loaded carbon. This will improve cash flow and significantly reduce the transport costs and the carbon consumption, as the carbon is regenerated in the elution plant and returned to the carbon in leach circuit.
As in South Africa , design and test work is complete and construction is due to commence imminently for the instillation of an intensive cyanidation plant. As a result of this, the gold in the concentrates will be beneficiated to bullion form with resultant significant cost savings in transport and processing costs. Also, as with the South African operation, this plant will also improve the cash flow, as once again, bullion is paid for within a few days compared to a few months for concentrates.
The Ghanaian Minister of Mines visited the facilities in Tema and was impressed with the added value operation. The Company enjoys an excellent relationship with the authorities in Ghana and looks forward to this continuing as it focuses on developing its business with major producers operating within the country.
Gold Recovery Ghana is also in reviewing opportunities to acquire a mining project in Ghana .
Kilimapesa Gold (Pty) Ltd ('Kilimapesa Gold') and the Kilimapesa Hill gold mining project ('Kilimapesa') - closing in on commercial gold production
Kilimapesa Gold has made excellent progress with the application for the Mining Lease at Kilimapesa, located in South Western Kenya within the historically producing Migori Archaean Greenstone Belt.
The National Environmental and Management Agency has issued the licence for the Environmental Impact Assessment and the local authority has set aside the land for mining purpose. All other conditions for the Mining Lease have now been met. The Commissioner of Mines and Geology has approved the Mining Lease application and all that is now required is the final ratification by the Minister of Environment and Resources. Once this is officially approved, Kilimapesa Gold will be permitted to make commercial sales of gold.
For further information visit www.goldplat.com or contact:
|Demetri Manolis, CEO||Goldplat plc||Tel: +27 (0) 11 423 1203|
|James Joyce||WH Ireland Limited||Tel: +44 (0) 20 7220 1666|
|David Porter||WH Ireland Limited||Tel: +44 (0) 20 7220 1666|
|Bill Sharp||Alexander David Securities Ltd||Tel: +44 (0)20 7448 9820|
|David Scott||Alexander David Securities Ltd||Tel: +44 (0)20 7448 9820|
|Felicity Edwards||St Brides Media & Finance Ltd||Tel: +44 (0)20 7236 1177|
|Isabel Crossley||St Brides Media & Finance Ltd||Tel: +44 (0)20 7236 1177|
Goldplat is an AIM-listed gold producer with operations in Africa .Its strategy is to consolidate its position as a gold producer in Africa and build itself into a highly profitable mid-tier gold company, leveraged through revenue generated from its gold recovery businesses.
The Company has two recovery businesses based in South Africa and Ghana producing circa 21,000 ounces of gold per year.These safely dispose of mining by-products, and fulfil an important aspect of the mines' environmental management programmes.The South African plant is located near the centre of the East Rand Goldfield and raw material feedstocks are sourced from many of the major South African mining companies, including AngloGold Ashanti , Goldfields, Harmony, DRD Gold and other smaller producers.The Ghana plant, located in the free port of Tema, provides access to raw materials from mines in Mali , Guinea , Burkina Faso , Benin , Cote D'Ivorie, Senegal , the DRC and Mauritania , as well as Ghana .
Goldplat is looking to increase its asset base through the acquisition of known deposits with targets of between 200,000 and one million contained ounces. To this end, it is developing its wholly owned Kilimapesa Gold mining project, located in the historically producing Migori Archaean Greenstone Belt in western Kenya .Kilimapesa Gold commenced initial production in January 2009 and has announced an initial JORC-compliant resource of 1.65Mt at 2.44 g/t Au for 129,000 oz Au at a cut-off grade of 1 g/t Au for all categories.
Goldplat is a profitable, African gold recovery services company . . .More info...
Goldplat has two profitable gold recovery businesses in South Africa and Ghana . . .More info...
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