Patagonia boooooo29 Sep 2016 19:29
Patagonia Gold booms as Argentina returns to fold
Miners sees a US$10mln swing into profit as political situation, currency and gold price all converge in favour
Patagonia Gold plc (LON:PGD) surged back into profit as it rode a tailwind of higher gold prices, weak currency and an improving political situation.
The Argentina–based miner saw a US$10mln turnaround from losses into a profit of US$3.6mln in the six months to June, as production jumped by 70% to 16,900 ounces while cash costs almost halved to US$591 per oz.
Patagonia also closed its Lomada mine and has now switched production down the road to Cap Oeste.
First ore is on the heap leach pads with the sales of gold expected to start in October.