- During the Quarter GPL maintained good production levels and achieved the planned margins.
- Production during the last month was lower as a result of a planned trial on a stockpile batch of the lower grade strategic material which was processed for evaluation purposes.
- A number of initiatives to reduce the operational cost in GPL has yielded positive results thus far together with improved efficiencies as an additional benefit. This will aid in the ability to source and process lower grade material in future.
Goldplat Recovery Ghana (‘GRG’),
- GRG production was supported by local clients during the Quarter, however was below expectations due to difficulties in sourcing sufficient material to process.
- GRG’s sourcing initiatives in
West Africaand South Americacontinue and the Company has made considerable inroads in developing these markets, especially in the Ivory Coast, Maliand Burkina Faso.
- A trial batch of material has been received for evaluation from one of the new clients in
Maliand the Company is hopeful that this will result in continued future business on a larger scale.
Kilimapesa Gold (‘KPG’)
- Operations at KPG were put on care and maintenance in
May 2019. Goldplathas continued to engage with the stakeholders of KPG and substantial support has been received from a number of stakeholders, with a high percentage of them agreeing not to demand payment from KPG for the six-month period ending November 2019.
- To support the cash flow requirements while the mine is under care and maintenance, the remaining stockpiles, together with purchased artisanal tailings, are treated on site to reduce the cost of care and maintenance.
- A major positive development has been that the Kenyan Revenue Authorities started refunding the mine’s VAT claims for the first time since incorporation. This action sends a strong message to potential investors about
Kenyaas an investment destination and for Kilimapesa it is of tremendous importance as the funds will be applied to reduce the KPG’s debt. Refunds received to date amount to circa USD 200,000.
- Discussions regarding seeking an investment partner remains ongoing. The Company is engaged in early stage talks with a number of interested parties.
The cost saving initiatives in the Group, including subsidiaries mentioned above is expected to reduce costs by circa
The Company had circa
“Discussions regarding seeking an investment partner for KPG remain ongoing and we hope to update the market in due course.”
** ENDS **
For further information visit www.goldplat.com, follow on Twitter @GoldPlatPlc or contact:
|CEO ||Tel: +27 (82) 051 1071|
|Tel: +44 (0) 20 7383 5100|
|Tel: +44 (0) 207 220 1666|
|Priit Piip||Tel: +44 (0) 20 7236 1177|
The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
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