19th Jul 2019 09:25
(Alliance News) - Highland Gold Mining Ltd on Friday affirmed annual production guidance after a steady performance in the second quarter of the year.
Highland Gold, which mines from Russia, produced 70,293 ounces of gold and gold equivalent in the three months to June, rising 1.0% from a year before.
Production for the first half of the year was 142,254 ounces of gold and gold equivalent, 10% higher than what Highland Gold produced a year prior.
The Mnogovershinnoye mine, or MNV, produced 28,728 ounces of gold in the second quarter and 59,317 ounces in the half, flat and up 23% year-on-year respectively.
Highland Gold said slightly higher throughput through the mill was offset by a "slightly" lower head grade.
The Belaya Gora mine produced 6,546 ounces of gold in the quarter, down 40% year-on-year, with interim production down 7.5% to 19,804 ounces. Mill throughput fell 15%, due to repairs and also a fire in a pipeline in the processing plant.
Novoshirokinskoye produced 27,453 ounces of gold in the quarter, 8.6% lower year-on-year, with first half output down 18% to 49,742. Ore grades fell year-on-year, Highland Gold said, but the second quarter was "much improved" on the first.
The Valunisty mine's second quarter production fell 4.7% to 7,566 ounces, with interim production down 22% to 14,873 ounces, mainly due to lower waste stripping and grades.
Following the first half performance, Highland Gold has reiterated 2019 production guidance of between 290,000 ounces and 300,000 ounces of gold and gold equivalent. In 2018, output was 269,500 ounces.
Shares were up 5.4% on Friday morning in London at a price of 226.59 pence each.
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