29th Jan 2021 11:34
Scotgold Resources Ltd - developer of gold project in Scotland - Reports tonnage throughput for January as "negligible" due to multiple materials handling issues between circuits, which to a large extent have now been addressed. Says remaining issues restricting throughput are expected to be addressed by the end of February. Notes build up of plant operating labour in January was also slower than planned, as recruitment was impacted by both the Christmas period and UK government imposed Covid-19 restrictions. Adds as a result of this, it has reduced 2021 production guidance to between 8,700 ounces and 7,800 ounces of gold from 9,910 ounces.
"Scotgold remains in a strong position to continue our commercial growth trajectory after achieving first gold on November 30. Despite the frustrating but resolvable materials handling issues that arose this month, our confidence in the ultimate performance of the mine continues to grow. The lessons learnt, as well as opportunities identified, during this phase one ramp up will be used to optimise our plans for the phase two expansion in 2022," says Chief Executive Richard Gray.
Current stock price: 87.00 pence, down 11% on Friday
Year-to-date change: down 17%
By Zoe Wickens; [email protected]
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