19 Oct 2011 07:00
AIM: GMA | 19 October 2011 |
GMA Resources plc
("GMA" or the "Company")
Production Update for Q3 2011
GMA announces an update on its gold and silver production for the third quarter of 2011 at the Amesmessa Gold Mine within the Tirek - Amesmessa Concession in South West Algeria.
Key Points
·; Total gold production for Q3 2011 of 1,814 oz.
·; Continuing adverse strip ratios in addition to continuing poor gold grades drove up cash costs significantly during the quarter.
Production Update
GMA announces that from 1 July to 30 September 2011, the Amesmessa gold mine in Algeria produced 1,814.0 oz of gold (Q2 2011: 2,368.9 oz) and 347.1 oz of silver (Q2 2011: 516.9 oz).
As previously reported, falling gold grades in the last 21 months of both high grade and heap leach ore are the major contributing factors to the falling gold production at Amesmessa.
There was however a significant increase in the strip ratio in Q2 reflecting the deepening of the existing mining areas. The strip ratio averaged 15.91 in Q3 versus 15.78 in Q2 and there is unlikely to be any significant improvement in the near term.
More detailed production data for Q3 2011 is set out in Table 1 below:
Table 1- Production July to September 2011
Parameters | Unit | Jul-11 | Aug-11 | Sep-11 | Q3 |
High Grade Ore Tonnes ex-Mine | dmt | 135 | 900 | 510 | 1,545 |
High Grade Ore Grades ex-Mine | g/t Au | 9.71 | 9.71 | 8.36 | 9.26 |
Heap Leach Ore Tonnes ex-Mine | dmt | 16,665 | 12,300 | 9,514 | 38,479 |
Heap Leach Ore Tonnes ex-Mine | g/t Au | 1.74 | 2.50 | 1.52 | 1.93 |
Waste Tonnes Mined | dmt | 289,755 | 197,655 | 149,265 | 636,675 |
Total Mined Ex-Pit | dmt | 306,555 | 210,855 | 159,289 | 676,699 |
Strip Ratio Ore Processed CIL Plant | dmt | 17.25 - | 14.97 3,758 | 14.89 2,972 | 15.91 6,730 |
Ore Grade CIL Process Plant Feed | g/t Au | - | 6.77 | 6.06 | 6.46 |
Ore Grade CIL Process Plant Tails | g/t Ag | - | 0.72 | 0.61 | 0.67 |
Gold Recovery CIL Process | % | - | 89.44 | 89.90 | 89.64 |
Ore Crushed | dmt | 30,346 | 14,979 | 26,278 | 71,603 |
Crushed Ore Grade | g/t Au | 1.48 | 3.06 | 2.14 | 2.05 |
Ore Stacked to Heap Leach Pad | dmt | 30,346 | 10,114 | 25,103 | 65,563 |
Stacked Ore Grade | g/t Au | 1.48 | 2.10 | 1.90 | 1.73 |
Enquiries:
GMA Resources Plc
| Ken Crichton | +20 (0)10766 6118 |
Merchant Securities Limited (Nomad) | David Worlidge | +44 (0) 20 7628 2200 |
Notes to Editors:
GMA owns a controlling 52% stake in ENOR spa ("ENOR"), the Algerian based operating company for the Tirek-Amesmessa project, with the remainder owned by Sonatrach, the Algerian state-owned oil and gas company.
ENOR holds the exploitation authorisation to the Tirek-Amesmessa property, an area of some 1,417 km2, located approximately 450km south west of the city, Tamanrasset, in southern Algeria. Amesmessa is an open pit heap leach gold mine located in the extreme south of the permit area. The now closed Tirek mine site is located centrally in the northern third of the exploration permit area, some 60 km north of Amesmessa.
GMA's shares are traded on the AIM market of the London Stock Exchange (AIM: GMA).
For further information on the Company, please visit: www.gmaresources.co.uk