14th Jun 2018 14:06
LONDON (Alliance News) - Xtract Resources PLC on Thursday said its production in the second quarter is running significantly better than prior quarters, as it progresses its Manica Alluvial operations in Mozambique.
The metals & minerals producer said it saw a random alluvial gold distribution at Manica since production begun in October last year. Thus, it continues to sent rock chips away for sampling.
In collaboration with Omnia Mining Ltd, Xtract said it uncovered concealed extensions to hard rock exposure. The parties are now investigating the cost of upgrading the current plant to feed all types of oxidation from oxides to sulphides.
Xtract said it plans to divide the Manica gold concession into North-South halves as oppose to East-West since the river beds and terraces require different processing plant configuration.
The company expects to report its second quarter results, which are three months to the end of June, in mid-July.
"The continued overall improvement in alluvial gold production from the prior quarter shows pleasing progress and we hope to build on this," said Executive Chairman Colin Bird.
"We are currently in the process of identifying more hard rock mining positions irrespective of whether the crop is oxide transition or sulphide and concurrently evaluating the cost and time of operating the plant to treat all gold mineralisation types," added Bird.
Shares in Xtract were trading 3.7% lower at 1.30 pence each on Thursday.
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