20th Jan 2016 10:23
LONDON (Alliance News) - Trans-Siberian Gold PLC Wednesday said production of gold and silver both rose in 2015 thanks to higher recovery rates.
The Russian miner said refined gold production rose to 37,984 ounces in 2015 from 36,089 ounces a year earlier whilst refined silver production increased to 49,398 ounces from 44,610 ounces. Gold in dore production increased to 37,798 ounces from 36,513 ounces whilst silver in dore production experienced a lift to 49,233 ounces from 45,086 ounces.
Trans-Siberian said gold and silver production in 2015 was 3.5% and 9.2% higher than 2014, respectively.
Production in November was hampered by lower gold grades reflecting the processing of lower grade ore from the mine's upper levels and from ore stockpiles as the stopes intended to be mined in that month were inaccessible due to flooding as a result of the cyclone that hit the operation. Production from the flooded area resumed before the end of November, it said.
The increased production was mainly down to higher recovery rates, which appeared to offset a fall in grades. The company extracted less ore in 2015, but processed more, also suggesting the company has built up an ore stockpile.
Trans-Siberian extracted 177,555 tonnes of ore in 2015 compared to 198,387 tonnes a year ago, and processed 161,242 tonnes during the year compared to 156,561 tonnes in 2014.
Although the average gold grade fell to 7.65 grammes of gold per tonne of ore from 7.68 grammes, the recovery rate improved to 95.4% from 95.06%. Silver grades also dropped to 12.28 grammes per tonne from 13.46 grammes, but the recovery rate increased to 76.94% from 67.17%.
Production comes from the Asacha mine, where the company developed 3,937 metres of mine during 2015 compared to 3,576 metres in 2014. Most of that development took place in the second half of 2015.
Trans-Siberian Gold shares were trading down 3.1% to 19.01 pence per share on Wednesday morning.
By Joshua Warner; [email protected]; @JoshAlliance
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