Peninsular Gold Limited Raub Operations Update (5343J)

TIDMPGL

RNS Number : 5343J

Peninsular Gold Limited

13 June 2014

PENINSULAR GOLD LIMITED

('Peninsular' or the 'Company')

Raub Operations Update

Highlights

-- Gold production for the quarter to 31 March 2014 of 5,805 ozs from approximately 371,000 tonnes of tailings throughput (Q4 2013: 4,628 ozs)

-- Gold production for the 1st three quarters of the financial year (July 2013 to March 2014) was 16,269 ozs

   --     Gold production for April 2014 was 1,794 ozs 

Raub Operations

Gold production from the Raub plant for the quarter to 31 March 2014 was 5,805 ozs compared to 4,628 ozs for the quarter to 31 December 2013.

The tonnage processed during the quarter totaled an estimated 371,000 tonnes of tailings material (Q4 2013: 302,000). The improvement in the total material processed over the previous quarter reflects the improvement in ball mill availability following the repair of the offline mill that impacted Q4 2013.

The current mining plan is to continue mining principally tailings until Q1 2015 at which point it is intended to recommence processing a blend of tailings and oxide material. The next tailings storage facility will also be ready for operation in Q1 2015.

This brings gold production for the first three quarters of the current financial year (July 2013 to March 2014) to 16,269 ozs (2013: 16,462 ozs).

Management at Raub are continuing to focus on operational improvement and increasing throughput via increased availability and cost savings and this focus is already yielding benefits.

This improvement in production for Q1 2014 has meant the second half of the financial year has started well. Production for April 2014 was 1,794 ozs. However, while the gold spot price was improved during Q1 2014 over the end of 2013, there has been a slight weakening of the price during Q2 2014.

While the second half of the financial year has started well, following the GBP2.8m loss reported for the six month to 31 December 2013, there is still expected to be a loss reported for the full year to 30 June 2014. Management remains confident of being able to raise any additional working capital should it prove necessary at any point.

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 Dato' Sri Andrew TY Kam           Patrick Watson 
  Chairman and Chief Executive      Finance Director 
  Peninsular Gold Limited           Peninsular Gold Ltd. 
  Tel: [phone]           Tel: [phone] 
--------------------------------  --------------------------- 
 Samantha Harrison/Craig Francis   Colin Rowbury 
  Nominated Advisor                 Broker 
  RFC Ambrian Limited               Daniel Stewart & Co. Ltd. 
  Tel: [phone]          Tel: [phone] 
--------------------------------  --------------------------- 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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