Last checked at 17 Aug 2022 07:00
Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration
17 August 2022
Goldplat plc
('Goldplat', the 'Group' or 'the Company')
4th quarter operating results update
for the period ended 30 June 2022
Goldplat plc, the AIM listed gold producer, with international gold recovery operations located in South Africa and Ghana, is pleased to announce an operational update for the 4th quarter, ended 30 June 2022 ("Q4").
The two recovery operations continued a strong combined operating performance from the previous quarter and achieved a combined operating profit for the quarter of £1,973,000 which represents a 83% increase compared with Q4 in the previous period (Q4, 30 June 2021 - £1,080,000).
The combined operating profit for the operating entities for 12 months ended 30 June 2022 increased by 51% to £7,996,000 (12 months ended 30 June 2021 - £5,300,000).
This quarter's strong numbers were supported by increased operating performance in South Africa of £1,245,000 (Q4, 30 June 2021 - £350,000), whilst Ghana achieved steady operational results of £728,000 (Q4, 30 June 2021 - £729,000).
The following have contributed to the excellent Q4 operating results:
Ghana
· We have remained focused on increasing our value offering to clients in the processing of other types of by-products and have increased our client base in Ghana as a result. This, together with good volumes from current clients in Ghana, supported the operating results for Q4.
· We maintain our engagement with governments and mines in the ECOWAS ("The Economic Community of West African States") to agree processes and controls on the export of gold bearing products and remain encouraged by the value we have identified that we can offer in these countries.
· We continue with our expansion into South America on a measured basis, with limited capital allocated as yet.
South Africa
· The strong operational profits for South Africa during the quarter continue to be supported by good production through our circuits, specifically gravity concentrators, and increased gross profit realised on the sales of material processed during the previous quarters. We are also seeing profits being supported by services in and production of platinum group metals ("PGM's").
· The construction of our PGM plant was completed during the quarter at cost of £300,000 and we have continued production of PGMs, whilst the commissioning of the flotation plan has been ongoing. This will increase the flexibility in material we can process and will enable us to further develop our PGM recovery business.
· As announced on the 16th of June, The Department of Water and Sanitation of the Republic of South Africa ('DWS') has authorised the water use in South Africa, which include the disposal of tailings on our new tailings storage facility ('TSF'). We are currently engaging with the DWS on certain conditions stipulated in the license, but on current indications, we estimate that the TSF will cost a further £650,000, £300,000 more than originally planned. Of the £650,000, £300,000 has been incurred during Q4.
· Once commissioned, tailings will be deposited in the new TSF. Subject to approvals and the installation of a pipeline, tailings held in the old TSF will be reprocessed at a third-party facility to recover an estimated 82,000 ounces of gold (Table 1).
Our cash balances in the group remained strong at £3,672,000 at the end of Q4 (Q4, 30 June 2021, £3,110,000).
Werner Klingenberg, CEO of Goldplat commented: "I am pleased to see the continued year-on-year strong operational numbers produced by the recovery operations, with this being the third year it has produced, at fluctuating gold prices, a combined operating profit above £5,000,000. We continue to invest time into identifying different methods to process materials containing various elements and building relationships in different jurisdictions, which has broadened the pipeline of potential projects going forward, including the processing of the tailings facility which should add a further revenue stream to the business in future."
For further information visit www.goldplat.com, follow on Twitter @GoldPlatPlc or contact:
Werner Klingenberg
| Goldplat plc (CEO)
| Tel: +27 (0) 82 051 1071 |
Colin Aaronson / George Grainger / Samuel Littler
| Grant Thornton UK LLP (Nominated Adviser) | Tel: +44 (0) 20 7383 5100
|
Jessica Cave / Andrew de Andrade
| WH Ireland Limited (Broker)
| Tel: +44 (0) 207 220 1666
|
Tim Thompson / Mark Edwards / Fergus Mellon | Flagstaff Strategic and Investor Communications | Tel: +44 (0) 207 129 1474 goldplat@flagstaffcomms.com |
The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.
Table 1
Mineral Resource Estimate of the Tailings Storage Facility, South Africa
Total Resource | |||||||||
Domain | Class | Tonnes (Mil) | Density | Au (g/t) | Au (Oz) | U3O8 (g/t) | U3O8 (lbs) | Ag (g/t) | Ag (Oz) |
TOTAL RESOURCE | Measured | 0.87 | 1.32 | 1.82 | 50,907 | 61.41 | 117,754 | 4.85 | 135,573 |
Indicated | 0.49 | 1.37 | 1.77 | 27,897 | 59.73 | 64,506 | 4.71 | 74,165 | |
Inferred | 0.07 | 1.30 | 1.4 | 3,154 | 71.40 | 11,016 | 2.82 | 6,356 | |
Grand Total | 1.43 | 1.34 | 1.78 | 81,959 | 61.32 | 193,276 | 4.70 | 216,094 | |
The Tailings Mineral Resource Estimate was announced in accordance with the JORC Code (2012) in a press release on 29 January 2016. Mark Austin of Applied Geology & Mining (Pty) Ltd. was the Competent Person responsible for that announcement. The Company confirms that all material assumption and technical parameters underpinning the Resource Estimate continue to apply and have not materially changed.