(Alliance News) - Altyn PLC said on Thursday it used money from a loan by major shareholder African Resources Ltd to bolster its underground fleet and boost production from its gold mines in Kazakhstan.
The unsecured loan of USD1.1 million was used to purchase another CAT R1300G hauling machine from Caterpillar Inc's Kazakhstan operations and, from Sandvik Kazakhstan, a third TN-430 underground dump truck.
Altyn already had two each of these machines in its fleet. It said the hauling machine has a bucket capacity of 3.1 cubic meters and the dump truck can lift 30 tonnes.
In March, after the loan was issued, Altyn said: "The company is pleased with African Resources Ltd’s continued support for the company with the aim of boosting production further."
In April, the company also secured a loan of USD1.0 million from a Kazakhstan based bank and said it was continuing talks to raise another USD13 million in funds.
The company said that this extra funding, in addition to the equipment purchased with the African Resources loan, could boost its production to 40,000 tonnes of ore milled per month.
Shares in Altyn were down 2.0% at 0.49 pence each in London on Thursday afternoon.
Altyngold (ALTN)