LONDON (Alliance News) - Keras Resources PLC on Thursday said it remains "firmly on track" to begin generating revenue from gold production at the Grants Patch area in the second quarter of 2016 after the company completed its first blast at the Anomaly 22 project.
Keras has agreements in place to mine lease areas owned by other companies, and is currently working on the Anomaly 22 project within the Grants Patch Gold Tribute lease area in western Australia.
Keras has now completed the first blast, using explosives or pressured gas to break rock for excavation, and said mining is expected to begin at the start of next week. That mining will form part of an initial bulk sample of up to 10,000 tonnes of ore to confirm grade continuity, mining practices and ore delivery mechanisms to the Paddington Mill.
"In November 2015 the company embarked on a new strategy to mitigate the cyclical risk of the commodity sector through the fast-tracked development of gold tributes in Australia. The first blast at the Anomoly 22 project, within four months of the strategic re-alignment, is a major milestone for the company," said Managing Director Dave Reeves.
"During that time the company has also secured two additional tribute agreements and looks forward to achieving its goal of extracting 20,000 to 30,000 ounces of gold over the course of the next year," Reeves added.
Keras shares were up 6.6% to 0.880 pence per share on Thursday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
Copyright 2016 Alliance News Limited. All Rights Reserved.
Keras Res (KRS)