13 Sep 2017 09:30
Central Rand Gold Limited (Incorporated as a company with limited liability under the laws of Guernsey, Company Number 45108) (Incorporated as an external company with limited liability under the laws of South Africa, Registration number 2007/019223/10) ISIN: GG00B92NXM24 LSE share code: CRND JSE share code: CRD ("Central Rand Gold" or the "Company") |
CONCENTRATOR PLANT AND OPERATIONAL AND FINANCIAL UPDATE |
Concentrator Plant
Shareholders are referred to previous announcements, the most recent of which was dated 20 April 2017, wherein they were advised that the concentrator equipment, which had been ordered from China, was expected to be delivered to South Africa in mid-June 2017.
Shareholders are hereby advised that the concentrator plant has now arrived in South Africa after some delays and has been transported to site in containers. The containers are expected to be off-loaded by 14 September 2017. It is anticipated that construction will commence in the beginning of October 2017 and that the concentrator plant will be fully on line by December 2017.
The manufacturer will be sending four engineers to assist with the installation and commissioning of the concentrator plant.
Operational and Financial Update
Whilst excavation and processing operations have stabilised at an operational level, the financial position of the Company nevertheless remains extremely serious. The Company carries significant debt and has a number of creditors. The directors are actively pursuing financing opportunities for the Company and are in discussions with a number of parties about those opportunities. Any such financing, if forthcoming, would be likely to be significantly dilutive to shareholders and may also involve the Company disposing of all or of a significant part of its operations to a third party better able to provide the capital required to provide a meaningful return from those operations, which are proving very difficult to achieve under the Company's current capital structure.
For further information, please contact:
Central Rand Gold +27 (0) 87 310 4400
Lola Trollip
ZAI Corporate Finance Ltd - Nominated Adviser +44 (0) 20 7060 2220
John Treacy
Brandon Hill Capital - Broker +44 (0) 20 3463 5000
Jonathan Evans / Wei Jiao
Merchantec Capital - JSE Sponsor +27 (0) 11 325 6363
Monique Martinez / Marcel Goncalves
Johannesburg
13 September 2017
The information communicated in this announcement is inside information for the purposes of Article 7 of Market Abuse Regulation 596/2014 ("MAR").