LONDON (Alliance News) - Aureus Mining Inc on Friday said it was "working hard" to recommence processing activities of its plant at the New Liberty gold mine in Liberia, but said mining activities were continuing at the site with preparations for the forthcoming wet season.
Aureus was forced to suspend plant operations at its New Liberty gold mine earlier this month after problems with a circuit and heavy rainfall caused a "small overflow" from its tailings facility. Operations will not restart until authorities have approved the remediation work and rectified the issue, the company said at the time.
"The company is working hard, in consultation with stakeholders and its consultants, to develop a start-up plan to recommence processing as soon as possible. Remedial actions to optimise the detoxification circuit are underway and the company will provide a further update next week," Aureus said on Friday.
However, the company noted that mining activities were continuing and the additional new mining fleet were deployed in May 2016. Aureus said it was "taking advantage of the process plant stoppage to complete scheduled plant maintenance and to increase its ore stockpile which it expects will enable the lost production to be recovered later in the year".
Elsewhere, Aureus noted the progress made in the first quarter to March 31, saying that since commercial production began at its New Libert mine, 22,706 ounces of gold had been produced.
Aureus reported revenue of USD23.1 million from gold sales of 19,249 ounces for the quarter, whilst operating cash costs came in at USD1,034 per ounces sold.
Aureus said negotiations continue with its lenders with regards to its future debt repayment schedule, and mining operating progressed in both the Kinjor and Larjor pits with tonnes mined totalling 2.0 million tonnes .
The company added that 252,578 tonnes of ore were processed at an average feed grade of 3.01 grams per tonne during the quarter, resulting in the production of 22,706 ounces of gold.
Plant performance at New Liberty is expected to improve in the upcoming quarters, Aureus said.
Shares in Aureus were down 11% at 3.80 pence on Friday.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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