18th Sep 2013 09:20
LONDON (Alliance News) - Shanta Gold Limited Wednesday said it is moving forward towards expansion of the indicated resources at its New Luika Gold Mine.
The newly producing gold miner, which operates in Tanzania, said its drilling tests have consistently found mineralisation including a 10.42 metre high grade intersection with 15.02 grams per tonne of gold and new extensions at its Bauhinia Creek position and to the east of the project.
Shanta Gold said it intends to add drill findings into an updated resource assessment to be released in October.
The company made its first sales totalling USD14.7 million in the six months ended June 30 as the New Luika Gold Mine moved from development to commercial production in April. The site produced 26,336 ounces of gold and the company achieved an average gold price of USD1,408 per ounce during the period.
"With production at New Luika stabilising and with the further upgrades to the plant in early 2014 on track, the updated resource statement will enable management to consider various scenarios to extend the life-of-mine with an increased level of confidence," Chief Executive Mike Houston said in a statement.
Shanta Gold shares were up 1.2% to 13.79 pence Wednesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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