27th Sep 2018 10:44
LONDON (Alliance News) - China Nonferrous Gold Ltd on Thursday posted a sharply narrowed pretax loss for the first half due to absence of impairment charges relating to construction work at Pakrut Gold Project in Tajikistan.
Shares in China Nonferrous were down 11% at 4.0 pence each.
The mineral exploration company also said that construction of all infrastructure projects at Pakrut is expected to be finalised and completed during the fourth quarter of 2018 and full production is expected to commence afterwards.
After completion of infrastructure projects, the Pakrut gold mine is expected to enter full production and capacity will gradually reach 2,000 tons per day. The mine entered into production in July.
In 2019, the gold mine is expected to achieve an annual production of 660,000 tons and produce 1.3 tons of gold per annum.
China Nonferrous recorded a pretax loss of USD3.4 million for the six months to June 30, compared with a pretax loss of USD12.4 million in the year ago period. No revenue was generated in the period versus USD5.5 million a year ago.
The company did not record any impairment costs relating to construction at Pakrut in the first half compared with a USD10.3 million charge a year ago.
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