27th May 2020 14:44
(Alliance News) - Xtract Resources PLC on Wednesday reported a "disappointing" first quarter, with alluvial mining production at its Manica concession in Mozambique hurt by a rainy season and the Covid-19 pandemic.
Total contractor alluvial gold production in the three months to March 31 was 467 ounces, down 55% quarter-on-quarter from 1,045 ounces.
"The results are a little disappointing for the first quarter based on the rainy season, but particularly the effect of the Coronavirus on spare parts delivery from China. We continue to experience low grade together with high overburden stripping. The spare parts arrived two weeks ago, and operations are already showing a significant improvement, despite tough operating conditions," Executive Chair Colin Bird said.
Shares in the company were 10% lower at 1.39 pence each in London on Wednesday afternoon.
By Eric Cunha; [email protected]
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