Goldplat plc Operational Update

 
TIDMGDP 
 
   Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration 
 
   24 April 2018 
 
   Goldplat plc ('Goldplat' or 'the Company') 
 
   Operational Update 
 
   Goldplat plc, the AIM listed gold producer, with international gold 
recovery operations based in South Africa and Ghana and a gold mine in 
Kenya, is pleased to announce an operational update for the three months 
ended 31 March 2018 (the 'Quarter'). 
 
   Overview 
 
 
   -- 28,534 gold equivalent ounces were sold and transferred during the nine 
      months ended 31 March 2018 (nine months ended 31 March 2017: 27,714 
      ounces) 
 
   -- The installation of the elution plant and associated ancillary 
      infrastructure at Gold Recovery Ghana was completed, with the first gold 
      pour from this operation taking place during the Quarter 
 
   -- Rand Refinery paid Goldplat Recovery (Pty) Ltd an undisclosed amount in 
      full and final settlement of the dispute between the two parties. This 
      dispute has now been concluded 
 
   -- WH Ireland has been appointed as sole Broker to Goldplat plc 
 
 
   Production for the Quarter 
 
   Overall production of 6,966 ounces of gold and gold equivalents was 
achieved during the Quarter, with operating profitability continuing at 
the recovery operations together with a continued reduction in losses 
made at Kilimapesa Gold Mine ('Kilimapesa').  In line with our 
commitment to build production output and profitability, the sourcing of 
by-product material for processing at the recovery operations and 
improving operational efficiencies at Kilimapesa remain primary areas of 
strategic focus for the Company.  During the Quarter, sourcing of 
material for Gold Recovery Ghana was slower than anticipated, however 
several batches of new material are in the final stages of contract 
completion. Losses continued at Kilimapesa due to lower grades and 
problems with the impact crusher at Plant 2. 
 
 
 
 
Gold 
Equivalent 
Ounces 
for the month period ending 31 
March 2018 
 
Goldplat Plc - 
    Group                                                        Year ending 
                   3rd Qtr         9 Months        9 Months       12 Months 
                    Actual          Actual          Actual         Previous 
                    Mar-18          Mar-18          Mar-17          Jun-17 
                  Equivalent      Equivalent      Equivalent      Equivalent 
                     Gold            Gold            Gold            Gold 
                      Oz              Oz              oz              oz 
Gold 
Equivalent 
Production 
 
Goldplat 
 Recovery 
 (Pty) Ltd               4,533          18,501          17,518          29,418 
Gold Recovery 
 Ghana Ltd               1,192           4,789           8,391          10,031 
Kilimapesa 
 Gold (Pty) 
 Ltd                     1,241           3,922           2,154           3,408 
Total                    6,966          27,212          28,063          42,857 
 
Gold 
Equivalent 
Sold 
 
Goldplat 
 Recovery 
 (Pty) Ltd               3,852          15,272          12,732          22,570 
Gold Recovery 
 Ghana Ltd                 339           5,032           7,909           8,327 
Kilimapesa 
 Gold (Pty) 
 Ltd                     1,380           4,100           1,993           3,215 
Total                    5,571          24,404          22,634          34,112 
 
Gold 
Equivalent 
Transferred 
 
Goldplat 
 Recovery 
 (Pty) Ltd               1,180           4,130           5,080           6,173 
Total                    1,180           4,130           5,080           6,173 
 
Gold 
Equivalent 
Sold and 
Transferred 
 
Goldplat 
 Recovery 
 (Pty) Ltd               5,032          19,402          17,812          28,743 
Gold Recovery 
 Ghana Ltd                 339           5,032           7,909           8,327 
Kilimapesa 
 Gold (Pty) 
 Ltd                     1,380           4,100           1,993           3,215 
Total                    6,751          28,534          27,714          40,285 
 
 
   Goldplat Recovery (Pty) Ltd ('GPL'), South Africa 
 
 
   -- During the Quarter GPL produced 4,533 ounces of gold and gold equivalents 
      with 3,852 ounces of gold sold for own account and 1,180 ounces 
      transferred to clients 
 
   -- Overall production at GPL was slightly below plan, with Carbon-In-Leach 
      ('CIL') production exceeding plan and deliveries to the by-product 
      circuits below plan. Overall targets for the year remain on track 
 
   -- The dispute between Rand Refinery and GPL was concluded during the 
      Quarter with all legal agreements being completed and Rand Refinery 
      paying an undisclosed amount to GPL. Business between the two parties has 
      resumed 
 
   -- Good progress was made during the Quarter to clean-up a decommissioned 
      gold operation for a large South African gold mining producer, with 
      completion on track for the end of FY2018 
 
   -- By-product contract renewals for the major South African gold producers 
      are currently underway 
 
   -- Metallurgical testwork to increase the economics of the strategic CIL 
      stockpile are ongoing and are yielding positive results 
 
   -- Process optimisation test work for the re-processing of the Tailings 
      Storage Facility resource continues, as progress (by the DMR) on the West 
      Pit 3 for final deposition is awaited 
 
 
   Goldplat Recovery Ghana ('GRG'), Ghana 
 
 
   -- GRG produced 1,192 ounces of gold and gold equivalents, with 339 ounces 
      of gold being sold for own account during the Quarter 
 
   -- During the Quarter the elution plant and associated infrastructure was 
      completed. This allows further beneficiation of a lot of the material to 
      Dore bars and also fulfils a requirement of the previous gold licence 
      renewal 
 
   -- Sourcing of material for GRG remains a primary focus and several batches 
      of new material are currently being finalised 
 
   -- GRG began pouring gold on-site during the Quarter 
 
   -- An environmental clean-up project with the Ghanaian Government to 
      rehabilitate artisanal mining tailings remains under discussion, pending 
      Government go-ahead 
 
 
   Kilimapesa Gold ('KPG') 
 
 
   -- KPG produced 1,241 ounces of gold and gold equivalents, with 1,380 ounces 
      of gold sold for own account during the Quarter 
 
   -- Production for the Quarter was below plan due to lower than expected 
      grades from the underground mine as well as problems experienced with the 
      crushing circuit at Plant 2 
 
   -- Cost optimisation is ongoing and internal approval for the installation 
      of grid power at Plant 2, and the underground mine and Teng Teng was 
      granted during the Quarter 
 
   -- The Kempe drill is now operational at Kilimapesa Hill underground mine. 
      This will assist in the forward planning of mining layouts with a 
      consequent improvement of grades and costs 
 
   -- Further optimisation of the metallurgical recovery is underway and we 
      expect positive results in the near term 
 
 
   International marketing and sourcing 
 
 
   -- During the Quarter the Global Sourcing Team completed a strategic global 
      sourcing plan, which supported the Group's ongoing focus on South and 
      North America as well as West Africa, with material being shipped to and 
      processed primarily at GRG 
 
   -- Senior teams concluded a comprehensive roadshow to North America as well 
      as to Peru during the Quarter 
 
 
   Gerard Kisbey-Green, CEO of Goldplat plc, commented: 
 
   "The conclusion of the Rand Refinery dispute and the completion of the 
elution circuit at GRG were key highlights of the Quarter.  As we 
continue to focus on building gold production and increasing 
profitability, we look forward to progressing the turnaround at 
Kilimapesa and securing new strategic supply contracts at an 
international level for our recovery operations." 
 
   **S ** 
 
   For further information visit www.goldplat.com, follow on Twitter 
@GoldPlatPlc or contact: 
 
 
 
 
Gerard Kisbey-Green          Goldplat plc            Tel: [phone] 
                              (CEO) 
Colin Aaronson / Jen Clarke  Grant Thornton UK LLP   Tel: [phone] 
                              (Nominated Adviser) 
James Joyce / Jessica Cave   WH Ireland Limited      Tel: [phone] 
                              (Broker) 
Charlotte Page / Susie       St Brides Partners Ltd  Tel: [phone] 
Geliher                       (Financial PR) 
 
 
   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. 
 
   About Goldplat 
 
 
   Goldplat plc is an AIM quoted gold producer with two market leading 
recovery operations in South Africa and Ghana and an operational gold 
mine in Kenya.   The Company produced 42,857 ounces of gold during FY 
2017, with 40,285 gold equivalent ounces sold and transferred, resulting 
in an operating profit from continuing operations of GBP2.9m for the 
year.  This result does not benefit from the increased processing 
capacity that was achieved at the Kilimapesa Gold Mine towards the end 
of FY 2017, with operational profitability achieved during last two 
months of FY 2017.  Accordingly, the Company believes it is well placed 
to build upon production and profitability during FY 2018. 
 
   The Company's strategy is focussed on utilising cash flow generated from 
its flagship gold recovery and mining operations to self-fund the 
sustainable growth and expansion of its niche gold recovery business 
model internationally. The Company is also committed to increasing its 
primary mining production output through acquisition / gaining interests 
in producing or near-production assets, preferably in Africa.  Goldplat 
retains exposure to a small exploration project in Ghana, in which 

Ashanti Gold Corp. is earning an interest via an earn-in option 
agreement. 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Goldplat plc via Globenewswire 
 
 
 
 

(END) Dow Jones Newswires

April 24, 2018 02:00 ET (06:00 GMT)

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