REG-Operational Update <Origin Href="QuoteRef">GLDP.L</Origin>

GoldplatAnnouncement

20/04/2016 07:05

Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration 
 20 April 2016 
 Goldplat plc ('Goldplat' or 'the Company') 
 Operational Update 
 
 Goldplat plc, the AIM listed African gold producer, announces an operations
update for the three months ending 31 March 2016 ('the quarter') for its two
market leading gold recovery businesses in South Africa and Ghana, and its
Kilimapesa Gold Project in Kenya, reporting  total gold production of 7,252
ounces, continued profitability and steady progress on priority capital
projects. 
 
 Goldplat Recovery Pty Limited ('GPL') - South Africa 
 
 * During the quarter GPL produced 4,864 ounces of gold of which a total of
3,365 ounces were sold for own account and 975 ounces were returned to clients
by way of metal transfers 
 * Operating Profit for the quarter was £845,000, bringing the 9-month year
to date Operating Profit to £1,535,000 (unaudited) 
 * The Tailings Storage Facility ('TSF') re-processing project is progressing
well with focus during the quarter on the research into metallurgical recovery
optimisation.  Due to the complexity of the metallurgical research work, it
is expected to be completed towards the end of May 2016, following which the
economic assessment, design, production and processing plans will be
undertaken 
 * During the quarter, the Company commenced a silver toll recovery project
for Rand Refinery to which the high grade circuit and approximately half of
the increased elution capacity was dedicated. This project has continued into
the current quarter. The project cost was front end loaded and although all
revenues thus far have been recognised, the cash amounts due will be collected
in the current quarter and further profits realised 
 * The majority of the concentrates produced during the period went to Rand
Refinery in South Africa, reducing the turnaround time significantly, with the
balance of the ashes and carbon sent to Aurubis in Germany 
 * The recently installed 4-tonne elution column continues to operate at
capacity with improvements being made on a continual basis providing greater
flexibility and capacity to procure and process material 
 * Awarded a contract with Anglogold Ashanti's Geita mine in Tanzania 
 * Appointments of a new General Manager and Strategic Sourcing Manager for
GPL are progressing well and should be finalised in the current quarter 
 * Annual wage negotiations were successfully concluded 
 
 
 Gold Recovery Ghana ("GRG") - Ghana 
 
 * During the quarter 1,885 ounces of gold were produced at GRG with 2,391
ounces being sold 
 * The profitability continues with an operating profit of £156,000 for the
quarter, bringing the 9-month year to date Operating Profit to £458,000
(unaudited) 
 * The renewal of the Gold and Environmental Protection Agency licences are in
progress and are expected to be concluded during the current quarter 
 * With the expansion of Kilimapesa being prioritised, the timing of the new
elution plant project at GRG has been pushed out and a new commissioning date
is being negotiated with the Ghanaian Authorities 
 * Commissioning of the shotblast facility was completed and production is
underway 
 * The CIL plant has been deconstructed and containerised, and is being loaded
for transport to Kilimapesa during the current quarter 
 * Subsequent to the resolution of backlog stock issues, relationships with
clients in Ghana have normalised and new material deliveries are expected to
return to normal 
 * Constructive discussions relating to sourcing by-product material from
potential South American clients continue - this forms part of Goldplat's
stated diversification and growth strategy for GRG 
 * A new collective bargaining agreement was signed and annual wage
negotiations concluded successfully 
 
 
 Kilimapesa Gold ("Kilimapesa") - Kenya 
 
 * Kilimapesa produced 503 ounces of gold during the quarter of which 442
ounces were sold 
 * This resulted in an operating loss for the period of £169,000 (unaudited),
bringing the 9-month year to date Operating Loss to £501,000. Monthly losses
relative to the previous 6 month period were reduced  by improving gold
yields 
 * In preparation for the installation of the CIL plant (from Ghana) the
Environmental Impact Assessment for the new plant, office and tailings
deposition sites has been approved. Civil construction is expected to begin
during the current quarter 
 * Processing of artisanal tailings from the licence area recommenced during
the quarter 
 * Limited production of high grade ore from on-reef exploration at Teng Teng
continued during the quarter and plans are underway to prepare for a Mining
Licence application 
 * The Knelson concentrator plant trials are underway at the Kilimapesa plant.
On completion the equipment will be re-installed and commissioned at the new
plant site and is expected to contribute to revenues during the current
quarter 
 * A new collective bargaining agreement was signed and annual wage
negotiations were successfully completed 
 
 
               
 
 Gerard Kisbey-Green, CEO of Goldplat plc commented: "This has been another
good quarter for Goldplat. I am pleased to report continued profitability at
the recovery operations and decreased losses at Kilimapesa. Good progress was
made on major projects, including the Kilimapesa plant project and the GPL
tailings storage facility. Finally I would like to congratulate all
stakeholders for the successful completion of annual wage negotiations at all
subsidiaries.  Whereas the financial results reflect the performances of the
operating subsidiaries only, it is pleasing to report that, including all
holding company and non-operating subsidiary costs, the Group remained
profitable during the quarter." 
 
 ** ENDS ** 
 
 For further information visit www.goldplat.com or contact: 
 
  Gerard Kisbey-Green, CEO                   Goldplat plc                      Tel: +27 (71) 8915775       
  Ewan Leggat/Jeff Keating              SP Angel Corporate Finance LLP    Tel: +44 (0) 20 3470 0470   
  Andrew Raca/Justin McKeegan               VSA Capital                       Tel: + 44 (0)20 3005 5000   
  Charlotte Heap                             St Brides Partners Ltd            Tel: +44 (0) 20 7236 1177   
 
 Goldplat plc, is an AIM-listed gold recovery services company with two market
leading operations in South Africa and Ghana. The Company's strategy is
focussed on utilising its cash flow generated from flagship gold recovery
operations in Africa to self-fund sustainable growth and expansion of niche
gold recovery business model. The Company also has a small gold mining and
exploration portfolio in Kenya, Burkina Faso and Ghana and is evaluating
various opportunities to create value or monetise these assets. 
 

 This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf
of NASDAQ OMX Corporate Solutions clients. 
 The issuer of this announcement warrants that they are solely responsible for
the content, accuracy and originality of the information contained therein. 
 Source: Goldplat plc via Globenewswire 
 HUG#2004952