Aerial view of Vatukoula Gold Mines PLC near Tavua. Photo: VATUKOULA GOLD MINES PLC
By RANOBA BAOA and JYOTI PRATIBHA
Additional information: Alliance News
Vatukoula Gold Mines PLC shipped 11,415 ounces of gold to its export markets despite posting low revenue in the first quarter of its financial year.
Revenue was down and it swung to an operating loss a media statement said.
The AIM-listed gold mining company produced 11,090 ounces of gold in the three months to end-November, from 10.549 ounces a year earlier, while shipments were 11,415 ounces, up from 10,482 a year earlier.
Production was down from 11,442 ounces in the final quarter of its last financial year, but shipments were up two per cent from 11,219 ounces.
It mined 104,805 tonnes of ore at its Fiji mine in the first quarter, up from 96,701 tonnes in the previous quarter but down from 117,160 tonnes a year earlier.
Vatukoula Gold Mines chief executive, David Paxton said: “The quarter was highlighted by the completion of the US$20m equity portion of the US$40m investment agreement with our majority shareholder, Zhongrun.
“With the funds we have placed the orders to return our stock levels of vital spares at the mine and have arranged for a comprehensive refurbishment program for the underground mining fleet.
“These steps ensure that we can complete the essential development as detailed in our long term plans. Other vital maintenance programs have been scheduled as required.”
AIM, reported that it had completed the first tranche of the $40m investment agreement with Zhongrun International Mining.
Funding of $20m was received in November.
“The US$40m will provide us with the balance sheet flexibility to embark on our capital investment programme in this fiscal year and we look forward to working with Zhongrun as we deliver our company strategy to grow our production to sustainable and profitable levels.”
Vatukoula Gold Mines shares were down 1.6 per cent at 6.25 pence this Monday.