Last checked at 17 Sep 2021 07:00
17 September 2021
GOLDSTONE RESOURCES LIMITED
("GoldStone" or the "Company")
Operational Update
GoldStone Resources Limited (AIM: GRL), the AIM quoted gold exploration and development company focused on bringing the Homase Mine within its Akrokeri-Homase Gold Project ("AKHM") in Ghana into production, announces an operational update.
During July and August 2021, we successfully commissioned the Carbon in Solution ("CIS') plant on-site and mined the first four benches of the Krodua Pit within the Homase Mine. All indications are that the grade and tonnes mined to date are within expectations. Despite some initial commissioning issues with stacking and agglomeration, which have impacted our targeted mining schedule, the Heap Leach pad crushing and conveyor systems are now operating as planned.
The Company has mined 133,000 tonnes of ore and 385,700 tonnes of waste and stacked 87,300 tonnes of ore on the Heap Leach pads. Whilst this is behind our initial forecast schedule, we are now stacking the balance of the stockpile at a consistent 120 tonnes per hour. We have temporarily paused further mining whilst the existing stockpile is being depleted, and expect to recommence shortly.
The Company is pleased with the initial permeability and dissolution of the leachate, and the CIS plant is operating well and at expected recovery rates to produce loaded carbon. The Company is continuing to make any improvements necessary to the CIS plant and investigating further ramping up the speed of stacking and the subsequent processing. We have now taken our first batch of loaded carbon out of the CIS plant for further processing, but unfortunately have not yet been able to elute the gold.
As previously announced, the Company had been seeking to elute the gold from the loaded carbon at a nearby rented facility, however approval from the Minerals Commission of Ghana for use of this facility has not yet been forthcoming. In light of this, the Company is now accelerating its plans to complete its own elution facility on site, which we are endeavouring to complete in the shortest possible timeframe. A further update with respect to timing of the commissioning of the elution facility will be provided in due course.
Gold Loan Update
As per the Company's announcement of 2 September 2021, the Board notes that it remains in ongoing discussions with Asia Investments Management Services Limited ("AIMS") with respect to the US$3m secured gold loan which matures on 19 September 2021 and associated interest payments.
We look forward to updating shareholders on progress in due course.
Emma Priestley, CEO of GoldStone, commented:
"Whilst we are obviously disappointed that we have not been able to commence gold production, we are pleased with the continued progress on the Homase Mine and the rate at which this is now operating following some initial operational hurdles. We look forward to providing further updates on the completion of our own elution facility on site and the timing for first gold production in due course."
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For further information, please contact:
GoldStone Resources Limited | |
Bill Trew / Emma Priestley | Tel: +44 (0)1534 487 757 |
Strand Hanson Limited | |
James Dance / James Bellman | Tel: +44 (0)20 7409 3494 |
S. P. Angel Corporate Finance LLP | |
Ewan Leggat / Charlie Bouverat | Tel: +44 (0)20 3470 0501 |
About GoldStone Resources Limited
GoldStone Resources Limited (AIM: GRL) is an AIM quoted exploration and development company with projects in Ghana that range from grassroots exploration to development.
The Company is focused on developing the Akrokeri-Homase project in south-western Ghana, which hosts a JORC Code compliant 602,000 oz gold resource at an average grade of 1.77 g/t. The existing resource is confined to a 4km zone of the Homase Trend, including Homase North, Homase Pit and Homase South.
The project hosts two former mines, the Akrokerri Ashanti Mine Ltd, which produced 75,000 oz gold at 24 g/t recovered grade in the early 1900s, and the Homase Pit which AngloGold Ashanti developed in 2002/03 producing 52,000 oz gold at 2.5 g/t recovered. It is the Company's intention to build a portfolio of high-quality gold projects in Ghana, with a particular focus on the highly prospective Ashanti Gold Belt.
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018.