25th Oct 2024 11:26
(Alliance News) - Griffin Mining Ltd on Friday reported a fall in ore mined during the third quarter of calendar 2024 whilst prices increased, amid the suspension of its operations post-quarter-end.
The mining and investment company focused on China said ore mined in the three months that ended September 30 fell 7.1% to 337,547 tonnes from 363,406 tonnes last year. Ore processed, however, increased 8.1% to 396,778 tonnes from 367,024 tonnes the year before.
Griffin Mining suspended operations at the Caijiaying Mine in China earlier this month following the death of a mining contractor's employee, who was buried by an "ore pass full of excavated paste" whilst excavating material. Operations halted "to facilitate a full investigation".
Zinc in concentrate produced during the three-month period fell 7.8% to 11,843 tonnes from 12,839 tonnes the year before. At the same time, gold in concentrate produced rose 3.9% to 4,105 ounces from 3,950 ounces last year; silver in concentrate produced grew 37% to 95,276 from 69,707 ounces; and lead in concentrate produced was up 65% to 468 tonnes from 284 tonnes.
The average zinc price during the third quarter of calendar 2024 surged 45% higher to USD2,584 per tonne from USD1,782 per tonne; the average gold price increased 23% to USD2,343 per ounce from USD1,900 per ounce, and the average silver price was up 33% at USD25.70 per ounce from USD19.30 per ounce. The average lead price during the quarter fell 0.6% to USD2,499 per tonne from USD2,514 per tonne.
Chair Mladen Ninkov said: "What was always planned as a lower grade production quarter has unfortunately been followed by the tragic loss of a contractor's employee's life. All of our staff and contractors are moving heaven and earth to ensure operations begin as soon as possible and the production lost in the shutdown is recouped in the last quarter."
The company still remains "hopeful" about meeting its budgeted production profile of around 1.5 million tonnes per year, on the basis that Caijiaying Mine will restart its operations "in the near future".
Shares in Griffin Mining were down 2.0% at 147.00 pence each in London on Friday morning.
By Emily Parsons, Alliance News reporter
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