LONDON (Alliance News) - GoldBridges Global Resources PLC Wednesday said it has made "significant progress" on its underground mining operations since August, and is planning to produce some gold from the new underground area in the fourth quarter.
The company is currently moving from an open pit operation at its Sekisovskoye mine in Kazakhstan to an underground one, which will eventually lead to the company closing the open pit to solely focus on the underground material.
To smooth out that transition, it has stockpiled around 60,000 tonnes of ore to be processed before the end of 2015 to mitigate the lost production from the transition.
On Wednesday, the company said it has completed the construction works on the new underground level that lies around 250.0 metres above sea level, and is now working on another underground level that lies around 200.0 metres above sea level.
It is currently drilling 400.0 metres per month as it moves further underground, and the miner said it plans to produce "some gold" from the completed level in the fourth quarter but said gold production from the level 200.0 metres above sea level will not occur until 2016.
"Sekisovskoye contains significant high grade reserves, and the decline solution allows us to access these reserves using a low capital expenditure solution," said Chief Operating Officer Maxim Strelnikov.
GoldBrdges shares were trading flat on Wednesday at 2.0 pence per share.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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