Goldplat plc (LON:GDP) is a business built around the recovery of gold from previously used mining equipment. As such it has been able to support its other endeavours in exploration and mining secure in the support of steady cashflow from a consistent supply of product.
The company's key operations are located in South Africa, Ghana and Kenya.
The principal sources of Goldplat’s production are mill liners, woodchips, waste grease, silt from lakes and tailings dams, and fine carbon.
Operational performance provides strong base for further growth
In the year to 30 June 2018, Goldplat produced 35,431 ounces of gold equivalent and sold 39,400 ounces.
The South African operations accounted for 23,567 ounces of production, the Ghanaian operations for 6,752 ounces, and the Kilimapesa mine in Kenya for 5,112 ounces.
In a November operational update for the quarter ended September 30, said it saw improvements in quality of material towards the end of the period at its South Africa operations.
Following a dip in South African production in the quarter, Goldplat expects to see a return to normalised production going forward.
Funding for Kilimapesa expansion
At the Kilimapesa mine in Kenya, the group completed ‘Stage 2’ of the expansion of new processing plant (Plant 2) last year and the company is now in talks to secure an investment partner to fund the next stage.
In the November update, the company said it has made good progress on its plan to secure funding for ‘Stage 3’ expansion and sustainable profitability at Kilimapesa.
“Sourcing funding for Kilimapesa and curtailing the funding burden at Kilimapesa by the group is of the highest priority and we look forward to significant progress in this regard during the current period,” chief executive Gerard Kisbey-Green said.
The group closed Plant 1 last May, which reduced overall production costs and allowed gold recovery to be optimised.
Goldplat 'confident on outlook' for Ghana
In Ghana, Goldplat is "confident on the outlook" as it addresses previously reported problems with sourcing feed material.
The company identified sources for “significant volumes” of material in the second quarter, which could help meet the annual target if delivered over the next four to six months.
Kisbey-Green said the company remains “confident that the ongoing focus on sourcing of sufficient quantities and quality material for the recovery operations and the continued focus on all identified Group strategic initiatives will yield improved results going forward”.
Amuso partner exercises earn-in option on project
At the Amuso gold mine in Ghana, partner Ashanti Gold Corp recently decided to exercise its earn-in option for 51% of the project.
Goldplat is conducting a review of Ashanti’s work on the licence as a formal part of the agreement, with both parties working on a development plan to advance the Anumso project.
“We have worked well with Ashanti to date and I believe that the partnership has, and will continue to add value to the asset, and more importantly, to our shareholders and to all other stakeholders including the local community,” said Kisbey-Green.