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RNS Number : 0482U Hummingbird Resources PLC 27 June 2024
Hummingbird Resources plc / Ticker: HUM / Index: AIM / Sector: Mining
27 June 2024
Hummingbird Resources plc
("Hummingbird", the "Group" or the "Company")
2024 Annual General Meeting Statement & Kouroussa Operations Update
Hummingbird (AIM: HUM) is pleased to provide the following statement from the
Company's Chief Executive Officer and Interim Chairman, Daniel Betts, ahead of
the 202 Annual General Meeting ("AGM"). The meeting will take place at the
offices of Gowling WLG, 4 More London Riverside, London SE1 2AU, at 10:00am
today.
The Company also provides an update on the progress of the ramp-up of mining
operations at the Kouroussa Gold Mine in Guinea ("Kouroussa") towards
achieving commercial production, following the remobilisation of Corica Mining
Services ("Corica") with further details to be provided at the Company's
second quarter operational and trading update to be released in late July
2024.
Statement from Dan Betts, CEO and Interim Chairman
I look forward to welcoming shareholders to our AGM today and reflecting on
the progress we have made over the past 12 months, as well as outlining the
future direction of the Company. Despite the unexpected challenges at
Kouroussa, including the fire at the national fuel depot in Conakry and the
temporary suspension of operations by Corica, operations have fully resumed,
and we anticipate reaching commercial production at Kouroussa in Q3-2024. With
this progress, the Company is well-positioned for significant growth,
solidifying our status as a multi-asset, multi-jurisdictional gold producer.
FY-2023 Key Highlights
As detailed in our 2023 Annual and Sustainability Reports, the year was marked
by significant milestones, operational progress, and strategic advancements.
We successfully met our FY-2023 production and All-In Sustaining Costs
("AISC") guidance at Yanfolila and completed the construction of our second
operating mine, Kouroussa, achieving first gold in June 2023. This was a
pivotal step towards our goal of becoming a major gold producer. Our key
achievements in FY-2023 include:
· Yanfolila Mine, Mali:
o Met FY-2023 production guidance, producing 83,965 ounces ("oz") of gold
with an AISC of US$1,331 per oz.
o Commenced the development of the Komana East Underground ("KEUG") mine
following the completion of mining at the Komana East open pit deposit in
Q2-2023.
· Kouroussa Mine, Guinea:
o Completed construction and achieved first gold pour in June 2023, with
total production of 6,068 oz in 2023.
o Continued to ramp-up mining operations in the face of several challenges,
with the processing plant performing in line with expectations.
o Further augmented the operational plan originally implemented by Corica,
through the engagement of support capacity through additional contractor
Etablissement Adama Sidibé ("ETASI").
· Strategic Review and Pasofino Stake:
o Conversion of our 51% interest in the Dugbe Gold Project into a 51%
interest in TSX-V listed Pasofino Gold Limited, simplifying the ownership
structure.
o Hummingbird increased its stake in Pasofino to 53% following a US$2
million investment in January 2024.
· Corporate update
o Achieved group adjusted EBITDA for FY-2023 of approximately US$34.5
million.
o Raised gross proceeds of US$28.1 million through a placement and open
offer announced in Q4-2023, strengthening the balance sheet and advancing
growth initiatives.
· ESG Initiatives:
o Maintained a strong focus on operational health and safety, achieving an
FY-2023 Lost Time Injury Frequency Rate ("LTIFR") of 0.60 per million hours
worked, better than the 1.20 LTIFR target.
o Continued focus on community engagement and development, with investments
in educational infrastructure, water projects, and health initiatives.
o Launched further initiatives to combat malaria and improve overall
wellbeing in the communities around Yanfolila and Kouroussa.
o Continued compliance with the World Gold Council Responsible Gold Mining
Principles.
o At Yanfolila, successfully completed the repatriation of the Sanioumale
East ("SE") village resettlement, on budget and ahead of schedule. This
completion enabled the Company to initiate operations on the SE deposit
earlier than originally planned.
FY-2023 has been a year of significant progress, resilience, and strategic
advancements for Hummingbird. We remain steadfast in our commitment to
delivering value for all stakeholders, pursuing sustainable growth, and
upholding the highest standards of responsible mining practices.
Update on 2024 Kouroussa Operations and Progress Towards Commercial Production
The start of 2024 has posed various operational hurdles, particularly at
Kouroussa. However, in the face of adversity, our team remained determined and
resilient, working diligently to overcome them. Building on the achievements
and overcoming the challenges of 2023, we are committed to delivering strong
operational performance while upholding our core principles of responsible
mining and sustainable practices.
Key Events and Achievements Through FY-2024:
· Group Production totalled 22,867 oz of gold in Q1-2024, with
Yanfolila contributing 16,999 oz and Kouroussa producing an additional 5,868
oz.
· At Yanfolila, the development of KEUG is targeting first ore in
H2-2024, with commercial production expected later in the year.
· Despite steady progress in February and early March, Corica, the
primary contractor at Kouroussa, temporarily halted mining on 17 March 2024.
Operations resumed in May 2024.
· Since the restart of operations, significant progress has been
made in ramping up mining activities towards commercial production:
o All four Corica mining fleets are now fully operational. Additionally, two
support fleets from ETASI have been integrated, with one operational and the
second soon to be engaged, bringing the total fleet at Kouroussa to six.
o Ramp-up activities are progressing in line with the updated operational
plan. BCM rates are being achieved, and grades are increasing as the operation
continues to mine transitional and fresh ore.
o Since resuming operations at Kouroussa, approximately 4,000 oz of gold has
been produced, bringing year-to-date production to c.12,000 oz.
o Based on the current rate of progress, the Company expects to achieve
commercial production in Q3-2024. A detailed update will be provided in the
Q2-2024 operational and trading update, scheduled for release in late July
2024.
A new Corporate Presentation is available to view and download via the Company
website through the following
link: https://www.hummingbirdresources.co.uk/investors/reports-presentations/
(https://www.hummingbirdresources.co.uk/investors/reports-presentations/)
**ENDS**
Notes to Editors:
Hummingbird Resources plc (AIM: HUM) is a leading multi-asset,
multi-jurisdiction gold producing Company, member of the World Gold Council
and founding member of Single Mine Origin (www.singlemineorigin.com
(http://www.singlemineorigin.com) ). The Company currently has two core gold
projects, the operational Yanfolila Gold Mine in Mali, and the Kouroussa Gold
Mine in Guinea, which will more than double current gold production once at
commercial production. Further, the Company has a controlling interest in the
Dugbe Gold Project in Liberia that is being developed by joint venture
partners, Pasofino Gold Limited. The final feasibility results on Dugbe
showcase 2.76Moz in Reserves and strong economics such as a 3.5-year capex
payback period once in production, and a 14-year life of mine at a low AISC
profile. Our vision is to continue to grow our asset base, producing
profitable ounces, while central to all we do being our Environmental, Social
& Governance ("ESG") policies and practices.
For further information, please visit hummingbirdresources.co.uk
(https://www.hummingbirdresources.co.uk/) or contact:
Daniel Betts, CEO Hummingbird Resources plc Tel: +44 (0) 20 7409 6660
Thomas Hill, FD
Edward Montgomery, CD
James Spinney Strand Hanson Limited Tel: +44 (0) 20 7409 3494
Ritchie Balmer Nominated Adviser
James Asensio Canaccord Genuity Limited Tel: +44 (0) 20 7523 8000
Ana Ercegovic Broker
Bobby Morse Buchanan Tel: +44 (0) 20 7466 5000
Oonagh Reidy Financial PR/IR Email: HUM@buchanan.uk.com (mailto:HUM@buchanan.uk.com)
George Pope
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