6th Mar 2018 15:17
The company's Mozambican subsidiary, Explorator Limitada, has agreed new terms with Moz Gold for the exploitation of the M blocks of the alluvial gold deposits at Manica. The subsidiary back in June 2017 concluded a mining contractor agreement with Moz Gold for the exploitation of alluvial gold deposits at Manica.
The new agreement replaces original payments provisions with a gold split and is for a period of 10 years.
Under the new agreement, Moz Gold will make a minimum kilogram gold payment of 2.25 kilogram of gold for March, and 3 kg of gold each and every further calendar month of the contract term. Moz Gold currently owes
"The change in the new agreement to a gold split should enable easier and more efficient monitoring of the operation, along with and bi-weekly payment increasing cash flow. Moz Gold have stripped a considerable amount of overburden and are expected now to increase their gold production," Xtract Chairman Colin Bird said.
"The Manica alluvial operations are beginning to stabilise after recent heavy rains falls. The availability of processing plant and earth moving equipment should ensure significant and further increased production levels. The decrease in rain fall, together with plant build up should also facilitate increased production levels," Bird added.
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