Highland Gold falls on production downgrade

Highland Gold Mining lost 16p on its share price after reporting that its production guidance for the year to 31 December has been revised lower. The firm reduced its predictions to 190,000-200,000oz of gold and gold equivalents from the previously announced 210,000-220,000oz, mainly due to a requirement for additional open pit waste stripping during the fourth quarter. Bad weather conditions earlier in the year were also to blame. In a statement the company said: "This reduction in production is expected to have a broadly similar effect on earnings before interest, taxes, depreciation, and amortization for the period. "Cash flows remain strong and there will be no impact upon Highland's operational, capex and project pipeline commitments."Highland expects to access higher grades at thr MNV site in the coming weeks and remains focused on ramping up production at Novoshirokinskoye, in addition to continued project development and exploration goals."The share price fell 8.33% to 176p by 13:41.NR