Proactiveinvestors RSS feed en Wed, 16 Aug 2017 15:58:22 +0100 Genera CMS (Proactiveinvestors) (Proactiveinvestors) <![CDATA[Media files - Goldplat has big expansion plans for mining and gold recovery businesses ]]> Thu, 27 Jul 2017 14:12:00 +0100 <![CDATA[News - Goldplat ahead of forecasts as year ends strongly ]]> A strong end to its trading year will mean gold recovery specialist Goldplat PLC (LON:GDP) posting underlying profits ahead of market expectations.

The published profits will include a £980,000 write-off for a project in Burkina Faso (Nyieme), but ignoring that the ongoing business had traded well said Gerard Kisby-Green, chief executive.

READ: Goldplat upbeat as Kilimapesa gold mine swings into profit

Production in the three months to June was 14,800 oz gold equivalent, with sales of 11,500 oz, and boosted by a one-off contract from a client in Africa.

There were also deliveries from a first long-term contract in Uruguay.

"The final quarter of the financial year produced good results all around for Goldplat, with a particular highlight being the continued record gold production and first operational profitability at our Kilimapesa operation,” Kisbey-Green added.

Production for the year totalled 42,857 gold equivalent ounces, a 14% increase over the previous year.

Shares rose 5% to 6.18p.


--updates for share price--

Thu, 27 Jul 2017 10:36:00 +0100
<![CDATA[Media files - 'All of our operations are now operating profitably' - Goldplat's Gerard Kisbey-Green ]]> Wed, 21 Jun 2017 11:39:00 +0100 <![CDATA[News - Goldplat upbeat as Kilimapesa gold mine swings into profit ]]> Goldplat PLC (LON:GDP) has reported that its Kilimapesa gold mine in Kenya is now operating profitably with a processing plant upgrade also now in the commissioning stage.

A throughput of 120 tonnes per day of ore during May was on  target, it said, as stockpiled fine material and a spare crusher were utilised while the new crusher and leach tanks were installed.

A decision on the next stage on Kilmapesa’s expansion will be taken once consistent planned production and profitability have been achieved but a second mill will be installed while the mine will also switch to cheaper grid power.

WATCH: 'All of our operations are now operating profitably', says Goldplat's Gerard Kisbey-Green

Goldplat is targeting an annualised production rate of about 4,500 ounces of gold following the completion of stage two.

Gerard Kisbey-Green, Goldplat’s chief executive, said: "Kilimapesa is now operating profitably and at the increased rates targeted for Stage Two.  This, together with continued steady and positive progress in South America, means the overall performance of the group remains positive and in line with market expectations.”

Away from Kilimapesa, Goldplat’s core business is to extract gold and silver from used mining equipment such as rubber mill liners.

It has just won its first recurring contract in South America with initial shipments of 360 tonnes of carbon to its operations in Ghana, where it has also decided to use a second hand elution plant to expand the operation.

This will save US$1mln, or half the cost, and be running by the end of 2017 or six months ahead of its licence renewal schedule.

Goldplat’s other extraction plant is in South Africa.

Kisby-Green said he did not expect the empowerment changes proposed in the country’s new mining charter to have a significant impact on its business there, even though the Chamber of Mines, the SA mining trade body, has threatened legal action.

Broker VSA repeated its 'buy' recommendation and 12.2p target price. Shares were a little lower at 6.75p.

-- updates for share price -- 



Wed, 21 Jun 2017 08:03:00 +0100
<![CDATA[News - Goldplat bolsters board with appointment of Sango Ntsaluba and Werner Klingenberg ]]> Aim-listed gold producer Goldplat PLC (LON:GDP) has made a couple of appointments to its board.

Sango Ntsaluba, chairman of Goldplat Recovery (Pty) Ltd and executive chairman & co-founder of investment group NMT Capital, will join as a non-executive director.

Werner Klingenberg, previously Goldplat’s group financial manager, will take over from Ian Visagie as finance director. Visagie, a founder of Goldplat, remains on the board as an executive director.

“Their individual experience both at the corporate and financial level will be invaluable to our company as we continue to deliver on our long-term growth strategy of increasing gold productivity and profitability,” said non-executive chairman, Matthew Robinson. 

“With the global expansion of our gold recovery operations well underway and our strategy to increase processing capacity at our Kilimapesa Gold Mine already showing value, I believe our company is entering a new phase of growth. I look forward to working with Sango and Werner, together with the rest of our board, as we look to build sustainable growth and generate meaningful value for our shareholders,” Robinson added. 

Thu, 01 Jun 2017 07:45:00 +0100
<![CDATA[Media files - 'A good quarter on all fronts' - Goldplat's Gerard Kisbey-Green ]]> Fri, 21 Apr 2017 14:31:00 +0100 <![CDATA[News - Goldplat reiterates full-year targets; agrees first contract with South American producer ]]> Goldplat plc (LON:GDP) overcame difficulties at its Ghanaian operations to post another set of solid quarterly production figures, compounding what has been a strong year of trading so far for the gold producer.

In its South African gold recovery business – Goldplat’s largest operation – the company produced 4,979 ounces (oz) of gold in the three months to end March.

That takes the division’s total to over 17,500oz for the nine months so far, almost 1,000oz more than at this stage last year.

WATCH: "A good quarter on all fronts", says Goldplat boss CLICK HERE: For a daily round-up of all the Proactive news

The company continues to produce more from its Kilimapesa gold mine in Kenya too, with production in the last quarter edging ever nearer to the 1,000oz mark at 964oz. 

The mine – which Goldplat recently raised US$2mln for to fund plant expansion – has now produced more in the first nine months of this year (2,154oz) than it did it in the whole of last year (2,005oz).

Phase two of the expansion is largely on target for completion later this month, the firm added, although the crusher circuit has been delayed slightly due to steel availability in Kenya but that shouldn’t impact production too much.

Goldplat’s other recovery operation – in Ghana – produced 803oz in the first three months of 2017, taking its total for its financial year to 8,391oz.

The drop-off in production was largely down to delay in the business receiving processing material.

In total, Goldplat produced 6,746oz in the third quarter, taking its total for the nine months of its year so far to just over 28,000oz and keeping it on course to meet the full-year target of 45,000oz.

The firm managed to sell 9,260oz in the period though, mainly due to it offloading a large chunk – almost 5,500oz – of gold concentrate as a result of an outstanding licence which was received towards the end of the second quarter.

South America could take Goldplat to the next level

Although those figures represent a decent year-on-year improvement, they’re still relatively small fry in the lucrative world of gold mining and recovery.

To try and take itself to the next level, Goldplat has been working on securing more gold-containing material from producers in South America.

In fact, Goldplat Recovery Ghana has signed its first agreement with a South American miner and expects to take delivery of some 240 tonnes of material in the coming quarter.

With a few more similar agreements from producers dotted around South America, it isn’t crazy to think that overall gold production could edge towards 100,000oz – typically the entry point into the mid-tier ranks.

‘Goldplat on track to hit full-year targets,’ says CEO Kisbey-Green

“I am particularly pleased with progress made on the plant expansion and achievement of targets at Kilimapesa, as well as the positive developments being made with respect to the sourcing of material from South America,” said chief executive Gerard Kisbey-Green.

“Alongside this we have identified new sourcing opportunities within West Africa and are also exploring opportunities in North America. I believe Goldplat is on track to meet planned targets for FY 2017.”

Rand Refinery dispute

Goldplat announced back last July that it had issued a demand letter to Rand Refinery – its primary South African refinery – for around £600,000.

The specific details are a little vague given that legal proceedings are now in process.

The two continue to work with each other on a day-to-day basis and Goldplat delivered concentrates to Rand throughout the last quarter.

The issue has given the company chance to build relations with other refinery firms so that it’s not too reliant on Rand.

To protect itself from this ‘single refiner risk’, Goldplat has been shipping concentrate to another refinery in Germany as well, while it has also identified another refiner with which it is finalising a new contract.

In a note to clients on Goldplat, analysts at VSA Capital said: “Overall, we remain positive on GDP’s operational performance and our forecasts remain unchanged.”

They reiterated a buy rating and 11.2p target price on the stock.

Goldplat shares held steady in lunchtime trading at 8p.

 -- Adds broker comment, share price --

CLICK HERE: For a daily round-up of all the Proactive news ]]>
Fri, 21 Apr 2017 07:55:00 +0100
<![CDATA[News - Goldplat takes legal action against Rand as dispute escalates ]]> Goldplat PLC (LON:GDP) has failed to resolve its dispute with the Rand Refinery over a contract to process a batch of silver sulphide material and legal action is now pending.

A final report from an independent metallurgical expert appointed jointly by both parties has not enabled a settlement to be reached, said the gold recovery specialist.

A settlement proposal from Rand Refinery that involved Goldplat paying a net amount was 'completely unacceptable'.

Gerard Kisbey-Green, Goldplat’s chief executive, said: "We cannot accept a settlement proposal which implies that we owe Rand Refinery anything and will therefore be initiating legal proceedings immediately.”

Goldplat believes the Independent Expert's final report underlines that it fulfilled its obligations according to the terms of the Silver Contract and acted in good faith and with due care at all times.

It wants repayment in full for R13.5mln (approximately £780,000) owed to it by Rand.

Goldplat added it had taken steps to reduce the 'single refiner' risk and to ensure it can get material processed irrespective of the consequences of its legal action.


Tue, 04 Apr 2017 10:18:00 +0100
<![CDATA[News - Ashanti Gold exercises option to earn into Goldplat's Anumso gold project ]]> African miner Goldplat plc (LON:GDP) said Ashanti Gold Corp. (CVE:AGZ) has exercised its initial option to earn up to a 51% interest in Goldplat’s interest in the Anumso gold project in Ghana.

 In line with this, Ashanti is obliged to either expend US$1.5 mln on the project within the following 12-month period, or pay the deficiency to Goldplat.

This exercise option follows an initial six-month review period whereby Ashanti had the option to decide if it wanted to withdraw from the agreement, but the company decided to continue with the option.

Following the initial option period, and providing the requisite funding requirements are met, Ashanti will have an option to buy an extra 24% of Goldplat's interest in Anumso, if it invests a further $US1.5mln in the following 12 month period, or by paying the deficiency to Goldplat.

In total the company has the right to earn 75% of Goldplat’s stake in the project in return for spending US$3mln over the next two years.

Goldplat’s chief executive, Gerard Kisbey-Green, said: “The working relationship between the two parties is very good and the work done by Ashanti to date has already enhanced the understanding of the potential of the project. 

“This agreement ensures we maintain strategic exposure to this prospective asset whilst Ashanti assumes the capital and operational responsibilities, and with their competencies already proven, we look forward to continuing to support Ashanti as they advance Anumso."

Shares in Goldplat rose 4.13% to 8.20p in afternoon trading. 

Thu, 30 Mar 2017 15:16:00 +0100
<![CDATA[Media files - Goldplat's Gerard Kisbey-Green 'very pleased with flexible new loan facility' ]]> Mon, 20 Mar 2017 07:21:00 +0000 <![CDATA[News - Goldplat expects gold output to grow as it secures new loan to fund expansion at Kenya mine ]]> African gold producer Goldplat plc (LON:GDP) has secured a US$2mln loan facility to restructure its balance sheet and fund its plant expansion at the Kilimapesa mine in Kenya.

The group’s wholly-owned subsidiary, Gold Mineral Resources Ltd, agreed the revolving pre-export loan facility with Scipion Active Trading Fund.

Goldplat chief executive, Gerard Kisbey-Green, said the company will use the funds to complete the second stage of its plant expansion at Kilimapesa.

It will also use the loan to repay the capital made available to Kilimapesa Gold Limited from other group subsidiaries, which have financed the work to date.

The second stage of the expansion is expected to increase gold production at Kilimapesa from the 60 tonnes per day achieved in the first stage, to 120 tonnes per day.

Goldplat is targeting an annualised production rate of about 4,500 ounces of gold following the completion of stage two.

The new loan is available for 360 days from the date of first draw-down and there is an option for the term to be extended or increased if both parties agree.

Kisbey-Green said: "We stated in our interim results announced on 20 February 2017 that we were looking at various forms of debt capital raising with a view to restructuring the group balance sheet and I am very pleased to have agreed this loan facility with Scipion." 

He said the loan will lead to a “cleaner and more appropriate group capital structure and availability of working capital for our recovery businesses”.

Shares gained 3.39% to 7.62p in afternoon trading.

Fri, 17 Mar 2017 14:16:00 +0000
<![CDATA[Media files - Goldplat's Kilimapesa mine 'on the verge' of profitability, says CEO Gerard Kisbey-Green ]]> Mon, 20 Feb 2017 08:42:00 +0000 <![CDATA[News - Goldplat's profits surge, production rises ]]> Gold recovery specialist Goldplat PLC (LON:GDP) saw profits surge in its latest half year.

The group with operations in South Africa and Ghana posted a 238% rise in pre-tax profit to £1.33mln in the six months to December on revenues of £14.4mln (£10.7mln).

Goldplat recovers metal left on the by-products from mining and production rose by more than a fifth to 21,317 ounces in the half year, though some of this was held back while it waited for renewal of its licence in Ghana, which has now come through.

The AIM-listed junior added that independent review in its dispute with Rand Refinery is nearing a conclusion and it remains confident of a favourable outcome.

Matthew Robinson, chairman, said; “Focus for the remainder of FY2017 will be on completion of Stage two of the new plant at Kilimapesa; concluding the strategy for sourcing material in South America and West Africa to deliver the growth strategy for GRG; and continuing to seek efficient and acceptable alternative sources of debt”. 

Mon, 20 Feb 2017 07:39:00 +0000
<![CDATA[Media files - First stage of new processing plant 'a huge step forward for us' says Goldplat CEO ]]> Tue, 07 Feb 2017 13:07:00 +0000 <![CDATA[News - Goldplat commssions first stage of new processing plant at Kilimapesa ]]> Goldplat PLC (LON:GDP) has commissioned the  first stage of a new processing plant at the Kilimapesa gold mine in Kenya.

The plant has a design capacity of 200 tonnes per day and will consist of a crusher circuit; mills; a thickener; leach tanks; an elution plant as well as a tailings deposition facility.

The next two stages will involve installation of the crusher circuit and three additional leach tanks and  installation of a second mill and a further three additional leach tanks.

To minimise upfront capital expenditure and utilise the company’s expertise, a processing plant from the company’s recovery operation in Ghana was deconstructed, containerised, and shipped to Kenya.

Two additional second-hand mills have also been acquired in South Africa with most of the installation and preparatory work being completed by in-house teams with the exception of overall plant layout, design and tailings dam design.

A stockpile of 6,000 tonnes of crushed ore has been built up, which is sufficient to keep the plant running until the crusher circuit and additional leaching capacity is commissioned.  

At end January production was running at 60 tonnes per day or 4,600 ounces of gold production, which should be enough for the mine to profitable.

Second stage will seen production rise to 120 tonnes per day and with the old plant boost production to 6,800 ounces of gold per year.

Gerard Kisbey-Green, Goldplat’s chief executive, said:  “Although it is modest in terms of production, we believe it will result in the commencement of sustainable profitability at Kilimapesa.”

Mon, 06 Feb 2017 11:12:00 +0000
<![CDATA[News - Goldplat delighted with three-year licence renewal in Ghana ]]> Goldplat PLC (LON:GDP) has received a three year renewal for its gold recovery licence in Ghana.

It means Goldplat’s GRG subsidiary can purchase and process by-products and export any gold recovered.

GRG will pay a royalty to the Ghanaian government of 5% on all minerals obtained from its operations.

Some stock held up while the new licence process was ongoing will now be shipped for processing, with the profit to come through in the second half of this financial year.

In order to maintain the licence, GRG must also continue with its plans to install an elution plant by June 2018.

Gerard Kisbey-Green, chief executive, added he was pleased with a three year licence as Ghana is a key plank of its operation.

“We are in complete agreement with the government regarding the need to install and commission an elution plant, which will significantly increase our operational capacity.”

VSA said: "Despite the recent weakness in the gold price, the shares have remained supported and within their recent trading range and we continue to expect the turnaround at Kilimapesa to support earnings in FY 2017." 

The broker is a buyer with a target price of 11.2p. 

Shares rose 5% to 4.76p.


-- update for broker comment, share price --


Tue, 20 Dec 2016 09:19:00 +0000
<![CDATA[Media files - Goldplat continues momentum ]]> Thu, 27 Oct 2016 16:07:00 +0100 <![CDATA[News - Results show Goldplat’s expansion continuing ]]> The expansion of Goldplat PLC (LON:GDP) continued during the quarter to 30 September 2016, as the company moved to secure new sources of supply from South America and continued with the development of its operations in Kenya.

Nonetheless, the company remains underpinned by its gold recovery operations in Ghana and South Africa.

These delivered the lion’s share of the company’s total of 9,129 ounces of gold and gold equivalent production during the quarter, of which 5,148 ounces came from the South African operations.

Of this, the company sold 4,280 ounces for its own account and 1,179 ounces on behalf of clients.

The Ghana operations produced 3,088 ounces of gold, of which 1,349 ounces were sold for the company’s own account during the quarter.

“I am very pleased with the progress made on all areas of strategic focus as we continue to improve our operational efficiencies, increasing processing capacity and ultimately build our profitability,” said chief executive Gerard Kisbey-Green


Thu, 27 Oct 2016 08:05:00 +0100
<![CDATA[Media files - Goldplat CEO: ‘We don’t need high gold price to make money’ ]]> Mon, 26 Sep 2016 12:35:00 +0100 <![CDATA[News - Goldplat swings to a profit in glittering year ]]> Gold recovery specialist Goldplat PLC’s (LON:GDP) hard work over the past 18 months has paid off as it swung to a profit in its latest financial year.

Production was up 23% to 37,666 ounces (oz) in the year to the end of June, with most of that (35,661oz) coming from the company’s recovery operations in South Africa and Ghana.

The firm managed to move on more than it produced during the year as well, digging into its stockpiles to post sales of 40,763oz during the 12 months, a significant increase on the 24,904oz sold last year.

As a result of the strong production and sales, as well as “multiple cost improvement initiatives”, Goldplat posted a net profit of £1.9mln for the 12 months (2015: £796,000 loss), on revenues of £20.2mln (2015: £16.6mln).

“I am confident that Goldplat is well positioned for growth and sustained financial profitability, with the recovery operations back on track and profitable, plans in place to return Kilimapesa to profitability during the FY 2017, and exciting growth prospects in the pipeline,” said chief executive Gerard Kisbey-Green.

This increased profitability and positive cash-flow generation allowed Goldplat to strengthen its balance sheet during the period.

As of the end of June this year, Goldplat had a net cash position of just over £2mln, compared to the £630,000 held at the end of last year.

This extra money meant work could get underway to expand the Kilimapesa gold mine in Kenya which the firm hopes will return it to profitability.

The company’s only mine posted a net loss of £711,000 for the year (2015: £753,000 loss) as production fell slightly to a touch over 2,000oz.

One sour point for the period was the dispute with Rand Refinery, although Goldplat insists that discussions are ongoing to “resolve this issue amicably”.

Mon, 26 Sep 2016 08:02:00 +0100
<![CDATA[News - Goldplat appoints new non-executive chairman ]]> Africa-focused gold producer Goldplat Plc (LON:GDP) has appointed Mathew Robinson as non-executive chairman.

Robinson brings to the board 12 years’ experience in mining and resources, joining from broking firm finnCap.

He will succeed mining veteran Brian Moritz who is stepping down from the role, awaiting shareholder approval.

“I believe that Matthew, a corporate specialist with extensive commercial, transactional and fundraising expertise, is an extremely valuable addition to our board,” said chief executive Gerard Kisbey-Green.

Mon, 19 Sep 2016 08:13:00 +0100
<![CDATA[Media files - GoldPlat plc boss Kisbey-Green discusses “fantastic” earn-in deal with Ashanti for Ghana gold project ]]> Thu, 15 Sep 2016 14:25:00 +0100 <![CDATA[News - Goldplat completes Anumso farm-out ]]> Goldplat has completed the farm-out of the majority of the Anumso gold project in Ghana.

Canada-listed Ashanti Gold (CVE:AGZ), formerly Gulf Shore Resources, can acquire 75% of Goldplat’s (LON:GDP) current 90% stake if it spends US$3mln on exploration.

The project has a current JORC compliant resource of 166,865 oz of gold at 2.04g/t.

Gerard Kisbey-Green, Goldplat’s chief executive, said he was pleased to sign off the deal.

“Goldplat has not been able to make capital available for development of this project over the past few years.

“This agreement will allow the company to retain an interest in the developments of the project with a competent partner, in Ashanti, committing capital, operating and enhancing the value of the project."  

Thu, 15 Sep 2016 08:26:00 +0100
<![CDATA[News - Goldplat: Quite literally a gold recovery play ]]> Only a few years ago, with commodity prices slumping and demand for precious metals low, Goldplat PLC (LON:GDP) was hoping for a change in fortunes.

Now the gold producer’s not got just one thing going in its favour, but several.

The gold price has recovered, a weak pound following the Brexit vote has provided the Africa-focused gold processor with an exchange-related boost while its Kilimapesa mine is poised to recover.

Evidence of the improvement showed strongly in the interims to December as profits roe by 238% to £1.33mln on revenues of £14.4mln (£10.7mln).

For the previous year, profits in total were £2mln on revenues of £20mln.

Money in waste

Goldplat recovers metal left on the by-products from mining and production rose by more than a fifth to 21,317 ounces in the half year, though some of this was held back while it waited for renewal of its licence in Ghana, which has now come through.

The one wrinkle is an ongoing dispute with Rand Refinery, one of the largest precious metal refineries in the world, but a favourable resolution here is near suggested the interim statement.

WATCH: Goldplat boss upbeat as momentum builds

READ: Weak pound and strong gold price boost profits at Goldplat

Unlike traditional gold producers, Goldplat doesn’t get its gold from mining. Instead, it extracts the precious metal from other firms’ waste materials.

As VSA Capital’s Oliver O’Donnell explains: “Gold latches onto pretty much anything, so wooden supports inside the mines, mill equipment and linings – that all absorbs gold throughout the mine life.”

“Basically what [Goldplat is] doing is taking all sorts of mining waste products or machinery that’s come to the end of its life and extracting the gold from that and then refining it.”

The obvious question then is, ‘why do the big miners not extract the gold from their own equipment?’

The simple answer, as it always is in business, is money.

“The majors could set up their mills to try and extract gold from these various materials, but it wouldn’t be economic to do so,” says O’Donnell.

“Goldplat can do it on such a scale where it becomes economic.”

Tailings opportunity

This waste material obviously comes with certain challenges and complexities. Given that it’s already been processed and often stockpiled as waste, it is by no means a homogenous body and it can pose problems.

But from a challenge rises an opportunity.

Like other tailings projects, there are no mining costs to contend with, so even if the company takes a hit on the amount of it can gold recovered, the healthier margins help to counteract this.

Kilimapesa expansion

Expansion at the Kilimapesa gold mine in Kenya is also on the cards, as the interim production number of just 932 ounces of gold, it currently ranks as something of a small fry.

And then there’s a newly established JORC resource of 82,000 ounces of gold with associated silver and uranium oxide at the South African operation.

South America

On a larger scale, there are plans for the company to expand into South America, a move which is made even more appealing by the numbers.

One small operation producing just over 20,000 ounces of the yellow metal a year, as the South African arm does, is fairly small potatoes. Add in Ghana and you can see things starting to scale up.

With two or three more operations dotted around South America, it wouldn’t be crazy to think that production could edge towards 100,000 oz a year, which is the traditional entry point into the ranks of the mid-tier minders.

Kisbey-Green hailed the recent successful processing of the first batch of South American material as “an unexpected bonus”, and he’s hoping for bigger things.

The gold price

A strong gold price obviously makes the economics of any operation that bit more viable and Kisbey-Green will be one of the people who’ll be hoping the political environment in 2017 remains so uncertain.

Only recently, banking giant Credit Suisse said “prolonged macro uncertainty” would likely see the gold price top US$1,475 before the year is out”.

Refinery dispute

Goldplat announced back in July that it had issued a demand letter to Rand Refinery – its primary South African refinery – for around £600,000.

The specific details are a little vague, given that legal teams are now working on resolving the matter, and it is hoped a swift and amicable agreement can be found.

Regardless, the two companies continue to work together in the gold refinery process in a “business as usual manner”, so it would appear that the dispute isn’t too unfriendly.

An independent, third-party “industry expert” has also been brought in to examine what has happened and Goldplat hopes to shed more light on the light situation over the next six weeks or so.

Kisbey-Green has said that this stand-off gives the company chance to build relations with other refinery firms so that it’s not too reliant on Rand.

“Just by way of de-risking ourselves from what we call a ‘single refiner risk’, we have rekindled our relationships with a number of other refineries around the world.”

He says that building relations with other firms doesn’t mean that Goldplat wants to end its relationship with Rand, though.

“On the contrary, we’d like to sort out our relationship with the Rand Refinery and continue good business with them, but it is prudent for us to de-risk this [current] issue.”

And finally, the share price…

Like most gold producers, Goldplat suffered in recent years as the price of the precious metal it processed fell, which was reflected in a tumbling share price, but the trend has definitely shifted.

The share price currently sits just above the 6p mark, giving the company a market valuation of approximately £10mln.

According to VSA, another potential boost will come from the turnaround at the Kilimapesa gold mine in Kenya.

“We believe that the turnaround of Kilimapesa and return to profitability will unlock significant value.

“Losses in recent years have undermined the performance of the wider group and we view the turnaround as a key catalyst for the shares which are up 188% from the 2015 lows.”

That VSA’s target price is 11.2p, some 70% higher than the current market price of 6.62p, reflects its confidence. 

Wed, 31 Aug 2016 14:27:00 +0100
<![CDATA[Media files - Goldplat plc boss Kisbey-Green upbeat as momentum builds ]]> Wed, 31 Aug 2016 12:52:00 +0100 <![CDATA[News - Goldplat profitable after ‘strong’ three months ]]> Gold recovery specialist Goldplat PLC (LON:GDP) told investors it was profitable in the final quarter of the financial year after a “strong” three months.

A total of 11,095 ounces of gold and gold equivalent were produced by the South Africa business.

In Ghana 304 ounces of gold was produced with 947 ounces sold (the difference between the two figures owed to the fact the GDP is currently running down existing stocks).

Kilimapesa, Kenya’s first gold mine, produced 570 ounces of the yellow metal.

During the period the Rand Refinery silver toll recovery project was completed with preliminary results revealing that around 3,700kg of silver were produced, which is the equivalent of 1,593 ounces of gold. The process extracted 1,350 of gold.

Goldplat said while contract with Rand is under dispute, it is aiming for a swift and amicable resolution to the issue.

“Notwithstanding the dispute, the silver project was a great technical success and processing the first trial batch of South American material successfully in Ghana was an unexpected bonus,” said chief executive Gerard Kisbey-Green.

“These projects and a number of others are proving that the capital invested in infrastructure and new equipment during the year was well invested and will continue to deliver returns going forward.”

Wed, 31 Aug 2016 08:52:00 +0100
<![CDATA[RNS press release - Holding(s) in Company ]]> Tue, 30 Aug 2016 11:10:20 +0100 <![CDATA[News - Weak pound and strong gold price boost profits at Goldplat ]]> Gold recovery specialist Goldplat (LON:GDP) saw profits surge in the second half of its trading year due to a combination of a higher gold price and lower value of the pound.

The group, which extracts gold from mining waste, expects profits in the year to June to be around £2mln on sales of £20mln. 

That compares with an interim profit and sales of £395,000 and £10.7mln and a loss of around £800,000 last year. The market consensus forecast was for profit of £560,000 on revenue of £21mln.

Last year’s result was affected by problems at its refiner Rand, and Goldplat is again in dispute with the South African refiner.

It cautioned last month that Rand would not be able to take any material for processing in August and is arguing with the refinery over £628,000.

Today, it said the final results may be subject to adjustments related to the dispute with Rand, though after the problems in 2015 it has made alternative arrangements to handle the processing of material if it is required.

The shares were up 15% at 6.3p after an hour of trading.

Wed, 24 Aug 2016 07:41:00 +0100
<![CDATA[RNS press release - Trading update ]]> Wed, 24 Aug 2016 07:01:17 +0100 <![CDATA[Media files - Goldplat delighted with Anumso gold project farm-out ]]> Fri, 15 Jul 2016 11:41:00 +0100 <![CDATA[News - Goldplat agrees farm-out of Anumso gold play in Ghana ]]> Gold recovery specialist Goldplat (LON:GDP) has agreed to farm-out a majority of its Anumso gold project in Ghana.

Canada-listed Gulf Shore Resources (CVE:GUL) has signed a letter of intent for an earn-in that will see it spend US$3mln on exploration for 75% of Goldplat’s 90% stake.

Goldplat has ten year lease at Anumso, which has a JORC compliant resource of 167,000 oz of gold at 2.04g/t.

The earn-in will be executed in two stages with GSR earning a 51% interest by spending US$1.5mln on exploration in the first 18 months. The remaining 24% is triggered by spending another US$1.5mln over the following twelve months.

GSR will be the operator of the exploration and development program.

Gerard Kisbey-Green, Goldplat’s chief executive, said:  “Anumso project is highly prospective and offers significant development opportunity, to which Goldplat wishes to maintain exposure.

The current resource size and economics makes raising capital to develop a mine on the project difficult in the short term, he said, but the proposed earn-in allows for Anumso to be developed and also for the Ghanaian recovery operations to become a West African hub.

Thu, 14 Jul 2016 07:43:00 +0100
<![CDATA[News - Operational success and currency favour Goldplat, dispute with refinery doesn’t ]]> Shares in Goldplat PLC (LON:GDP) traded slightly weaker at the open on Monday 11th July after news that the company is in dispute with one of its major business partners, the Rand Refinery.

The company also noted that for “operational reasons” the Rand Refinery will not be able to accept any product from Goldplat for refining during the month of August.

Goldplat has been in dispute with Rand Refinery before and has learned hard from the experience.

It has in the past taken steps to mitigate what it refers to as “single refinery risk” and as a consequence it will be able to switch feed to other refineries without the process having a “significant impact on its business.”

Nonetheless, there remains the matter of the £628,000 under dispute with Rand Refinery.

That outstanding sum, combined with strong currency movements which have worked in the company’s favour and with a good overall performance from the South African arm of its operations means that Goldplat isn’t currently able to confirm that its results will be in line with market expectations.

The shares dipped slightly on the news to 5.62p, although they have just about tripled in value over the past 12 months.

Mon, 11 Jul 2016 03:13:00 +0100
<![CDATA[RNS press release - AIM Rule 17 Notification ]]> Tue, 21 Jun 2016 07:00:07 +0100 <![CDATA[Media files - Goldplat CEO hopes Kilimapesa will return to profit in 2016 ]]> Thu, 21 Apr 2016 15:51:00 +0100 <![CDATA[News - Goldplat reports continued profitability at recovery operations ]]> Goldplat PLC (LON:GDP) has unveiled a good latest quarter, which saw continued profitability at its recovery operations and decreased losses at the Kilimapesa gold mine in Kenya.

In all, 7,252 ounces were produced in the three months to March 31 along with steady progress on capital projects, the company revealed.

Highlights from the South Africa recovery business were that 4,864 ounces of the yellow metal were generated and the operating profit  was £845,000.

The tailings storage facility re-processing project progressed well, the firm said, with the focus on research into optimising recovery.

This work is expected to be completed towards the end of May this year, following which the economic assessment and processing plans will be undertaken.

The period also saw the firm begin a silver toll recovery project for Rand Refinery, which has continued into the current quarter. Although all revenues thus far have been recognised, the cash amounts due will be collected in the current quarter and further profits realised.

At the Ghana operations, 1,885 ounces of gold were produced with 2,391 ounces being sold and the operating profit was £156,000.

With the expansion of the Kilimapesa project being prioritised, the timing of the new elution plant has been delayed and a new commissioning date is being negotiated with the Ghanaian Authorities, the firm noted.

At Kilimapesa, 503 ounces of gold were produced during the quarter, of which 442 ounces were sold, resulting in an operating loss for the period of £169,000.

The CIL plant, which has been deconstructed in Ghana, and will be coming to Kenya, means civil construction is expected to begin during the current quarter, while the Knelson concentrator plant trials are underway at the Kilimapesa plant.

On completion the equipment will be re-installed and commissioned at the new plant site and is expected to contribute to revenues during the current quarter

Goldplat chief executive Gerard Kisbey-Green told investors: "This has been another good quarter for Goldplat. I am pleased to report continued profitability at the recovery operations and decreased losses at Kilimapesa.

"Good progress was made on major projects, including the Kilimapesa plant project and the GPL tailings storage facility."

He added it was pleasing to report that, in all, the group remained profitable during the quarter.

Wed, 20 Apr 2016 07:47:00 +0100
<![CDATA[Media files - Priority is to get Kilimapesa into profitability - Goldplat CEO ]]> Fri, 26 Feb 2016 15:44:00 +0000 <![CDATA[Media files - Goldplat chief says the firm is sustainably profitable ]]> Mon, 22 Feb 2016 16:18:00 +0000 <![CDATA[News - Goldplat’s turnaround gathers pace ]]> The gold price has been rising of late, but it’s not just that putting a smile on Goldplat PLC (LON:GDP) chief executive Gerard Kisbey-Green’s face.

A week pound following the Brexit vote has also given the Africa-based gold recovery business a healthy profits boost.

The combined effect has been to send profits in the year to June just ended up to £2mln on revenues of £20mln.

As interim profit and sales were £395,000 and £10.7mln respectively and Goldplat made a loss of around £800,000 last year, it points to a stellar second half.

Indeed, the market consensus forecast was for the year was profit of £560,000 on revenue of £21mln.

The one wrinkle is an ongoing dispute with refiner Rand, which may see some gloss taken off the final numbers depending which way it goes.

Quiet recovery

Nonetheless, on this evidence it’s clear that Kisbey-Green has orchestrated a significant turnaround of the business since he took over last year.

In the first six months of the current financial year the company produced nearly 18,000 ounces of gold from two by-product recovery operations, one in South Africa and one in Ghana, with a small contribution also coming from a mine in Kenya.

That compares pretty well to the 24,900 ounces that the company produced across the entire 12 months prior and shows that the measures that Kisbey-Green is taking are having an effect.

Elution solution

The most significant of these has been the installation of what’s known as an elution column at the South African operation.

This effectively allows for the washing of the by-product materials in far greater volumes, and has increased capacity, according to Kisbey-Green, from around 1.5 tonnes per day to “in excess of 8 tonnes per day.”

“It allows us to capture a lot more of the value chain in-house,” he says. “The next step is to install one in Ghana.”

Broker VSA expects the new Ghanaian plant to make a contribution over the next couple of years.

Kilimapesa expansion

Expansion at the Kilimapesa gold mine in Kenya is also on the cards, as the interim production number of just 932 ounces of gold ranks it currently as a true tiddler.

And then there’s a newly established JORC resource of 82,000 ounces of gold with associated silver and uranium oxide at the South African operation.

Tailings opportunity

This material comes with certain complexities. Having previously been processed and then stockpiled as waste, it is by no means a homogenous body and the metallurgical challenges involved in the extraction of the metals could be significant.

On the other hand, as with all tailings projects, there are no mining costs to contend with, so even if there has to be some sacrifice of recoveries, margins could well come in at a very healthy level.

Work on that resource base will continue, but at this stage Kisbey-Green is talking of estimates from metallurgists and engineers that the company should be able to extract around 40% of the mineralisation before the capital intensity starts to look prohibitive.

“There’s quite a lot of work to be done,” he says. “That work begins now.”

Cash inflow

It’s helpful, of course, that this is a company that is generating cash and likely a lot of it given the strength of the second half performance.

The final figures will give a fuller picture but having spent around £600,000 in the first half of this financial year cash generated from selling the gold from South Africa, Ghana, and to a small extent Kenya should have been able to cover a similar amount in the second six months.

South America still an option

On a bigger scale, there are plans to expand into South America, although Kisbey-Green concedes that here things haven’t progressed as fast as he’d hoped.

Still, you can see the appeal. One small operation of just over 20,000 ounces a year, as the South African operation does, is fairly small potatoes. Add in Ghana, and there’s beginning to be scale.

With two or three more operations across the South American continent, production might suddenly rocket towards the 100,000 ounce mark, the traditional entry point into the ranks of the mid-tiers.

Mon, 22 Feb 2016 13:12:00 +0000
<![CDATA[News - Goldplat upbeat as recovery operations return to profit ]]> Goldplat (LON:GDP) moved back into profit in its latest six months as its gold recovery businesses recovered.

Net profits for the six months to December were £395,000, a £796,000 turnaround from the loss at the same time in 2014. At the operating level the improvement was more than £1mln.  

Last year’s results were affected by problems at its third party refiner Rand that meant stocks building up, but Goldplat has now set up an agreement with a German smelter company and is processing more of its own material.

Goldplat extracts gold from mining by-products and overall gold production for the six month period was 17,457 oz, with 17,875 ounces sold.

Both the primary gold recovery operations in South Africa and Ghana were cash flow positive.

The Kilimapesa gold mine in Kenya still ran at a loss, but expansion and development plans are behind considered to alleviate this.

Brian Moritz, chairman, said elution throughput capacity at its South African operation had risen to in excess of eight tonnes per day and the backlog of stocks had largely been processed.

The problems relating to Rand Refinery, which hit cashflow, new deliveries from numerous clients, and a significant reduction in cashflow and profitability, are now behind the company he added.

“For the rest of the current year we expect production and sales to continue at current rates, and for the recovery operations to build on the success of the first half.

“Capital projects during the period to June 2016 will be restricted to high priority projects including, but not limited to, the stage 1 expansion at Kilimapesa and the installation of an elution column at GRG.

“The major challenge ahead is to return Kilimapesa to profitability or to find a corporate solution to alleviate the losses from this operation.”

Mon, 22 Feb 2016 08:01:00 +0000
<![CDATA[Media files - Goldplat CEO pleased with “very encouraging” survey results ]]> Mon, 01 Feb 2016 09:24:00 +0000 <![CDATA[News - Goldplat identifies 82,000 oz of gold in South African tailings ]]> Goldplat (LON:GDP) has completed a JORC-compliant resource statement for the tailings storage facility at its gold recovery operations in South Africa.

Applied Geology and Mining carried out the survey and estimated a total of 81,959 ounces of gold, 216,094 ounces of silver and 193,276 pounds of uranium oxide.

Gerard Kisbey-Green, chief executive, said:  "This is a great result for Goldplat - the amount of gold estimated is in the order of what we were hoping for and the silver and uranium is an added bonus!”

"This is a resource "sitting on our doorstep" which has already been mined and processed and should therefore be very cost-effective to process.

"82,000 ounces of gold on our property with minimal mining costs and relatively simple processing is a great resource to have.

“Our next step will be to optimise the metallurgical extraction of the gold and silver, and determine how best to monetise the uranium resource."

Although the company is keen to optimise the extraction and recovery process, Kisbey-Green was quick to add "We don't want to get into the uranium producer game."

The resource was separated between the metals contained in the TSF slimes and metal in the soils beneath the TSF as a result of leaching over the years.

VSA Capital believe that the low cost and relatively simple feedstock material from the TSF should support margins going forward.

The broker went on to say: "with GDP’s ongoing operational recovery we believe that this further transparency should provide investors with further confidence in GDP’s ability to deliver a sustained turnaround."

Share price stood at 3.88p, up 10.71%.

Fri, 29 Jan 2016 08:52:00 +0000
<![CDATA[News - Goldplat upgrades facilities at two gold recovery sites ]]> Goldplat (LON:GDP) has opened a shotblast facility at its gold recovery operation in Ghana, GRG.

The activity is new for GRG and will generate additional revenue for the business, said Goldplat, with feed materials already being taken in from third parties.

In South Africa, meanwhile, a new on-site weighbridge has been added to the gold recovery business there to make a significant improvement in the control of deliveries into the various treatment circuits.

Gerard Kisbey-Green, chief executive, said the site upgrades highlight how Goldplat was now consistently completing capital projects on time.

“I am particularly pleased that we have opened up a new revenue stream at GRG, which should positively impact revenue streams going forward as we remain focussed on expanding our recovery operations and capturing more of the value chain in-house."


Fri, 11 Dec 2015 07:40:00 +0000
<![CDATA[News - Goldplat commissions first of new elution plants ]]> Goldplat (LON:GDP) expects to clear the remainder of its stocks backlog after its new elution column at its South African gold recovery operation came on stream.

It was an important milestone, said Goldplat, which will use the column to extract gold from mining waste and by-products.

As well as improving its cash position, it provides capacity for production to rise in future, it said.

The column is the first of three acquired from DRD Gold. Where the other two end up has yet to be decided though one may go to the company’s gold recovery operation in Ghana.

Gerard Kisbey-Green, chief executive, said: "The increase in our elution capacity to an average daily throughput rate of 8 tonnes per day supports Goldplat's strategy to capture more of the gold recovery value chain in-house and completes another significant capital project."

Wed, 18 Nov 2015 07:42:00 +0000
<![CDATA[News - Goldplat's Ghana arm gets US$1.4mln cash boost ]]> Gold recovery specialist Goldplat’s (LON:GDP) Ghana operation has received a payment of  US$1.4mln for material sent to German smelter Aurubis.

The cash will be used to pay two of its suppliers of gold material in Ghana and help accelerate its expansion plans there.

GRG, the Ghanaian business, received the money after negotiating a early payment deal in return for an effective cost of approximately 1% of the amount received.

Shares rose by 8% to 3.5p.

Thu, 12 Nov 2015 09:32:00 +0000
<![CDATA[Media files - Goldplat turnaround on upward momentum - CEO ]]> Fri, 30 Oct 2015 14:56:00 +0000 <![CDATA[News - Goldplat back in profit, eyes South American expansion ]]> Gold recovery specialist Goldplat (LON:GDP) moved back into profit in its latest quarter as production recovered.

The company, which recovers gold from mining by-products, posted operating profits of £571,000 from its recovery businesses, though the Kilimpesa mine posted another loss.

Total gold produced was 9,581 ounces, split roughly two-thirds from South Africa and a third from Ghana with a small cpntributin from the mine.

Gerard Kisbey-Green, Goldplat’s chief executive, said he was delighted with the first quarter’s production.

“Whereas the financial results reflect the operational performances only, it is pleasing to report that, including all Head Office costs and costs associated with non-operating subsidiaries, the group was profitable during the quarter."

A new 4 tonne elution column at the South African business is due to be commissioned in November, he added, while the group has sounded out opportunities to expand its gold recovery business into South America.

The return to positive cashflow in the three months to September was also welcome, he said.

Thu, 29 Oct 2015 07:47:00 +0000
<![CDATA[News - Goldplat back in profit as turnaround takes effect ]]> Shares in Goldplat (LON:GDP) have enjoyed something of a mini-revival in recent weeks as the market begins to digest the implications of a series of recent positive operational updates.

On 4 September the company announced the installation of a new boiler at its gold recovery operation in South Africa and the commissioning of a new woodchip washplant. 

Then in mid-September came news that a new mill had been commissioned at the same operation, along with a new pumping station and a new cyanide storage facility.

Finally, at the back end of the month Goldplat put out full-year financials which showed that for the second half of the year the company had returned to profitability, even though the figure for the overall year remained negative.

It all adds up to a remarkable turnaround for a company that looked to be in real difficulties after a key customer, South Africa’s well-known Rand Refinery, ran into difficulties back in 2014.

Apart from bullion refining, which remained unaffected, Rand had traditionally bought concentrate and gold-rich ashes and carbon from Goldplat, and with a history of almost unbroken service stretching back almost a hundred years, the idea that it would run into difficulties  was not considered credible.

But it did, and Goldplat stumbled badly.

Gerard Kisbey-Green, originally appointed to the board to take on the chairman’s role, appraised the situation and realised that with certain management changes and additions, and some key strategic initiatives, solutions were at hand.

That precipitated a bout of musical chairs. Kisbey-Green assumed the role of chief executive, outgoing chairman Brian Moritz agreed to stay on for a while, while the incumbent chief executive and finance director , Ian Visagie,  agreed to step back from his market-facing role to concentrate on managing the financials.

First and foremost, the single-refinery risk that had so undone the company in the past 12 months needed to be addressed

Because Goldplat specialises in recovering gold from discarded industrial equipment and other waste, its product line isn’t always as straightforward as the standard concentrate that many miners produced.

This meant that when Rand’s issues began, there wasn’t an obvious alternative to turn to.

But there is now.

The company drew upon its relationship with Aurubis Refinery in Germany, which has played a significant role in partially working off a backlog of Goldplat stock accumulated both by its South African operation and by its parallel operation in Ghana.

The problem remained cashflow as there was a 5-month pipeline to fill with Aurubis before cash began to flow, towards the end of the financial year.

Rand Refinery has now recovered its poise, is taking delivery of some material, and the two parties continue to seek ways to do mutually beneficial business together. But the pipeline with Aurubis will be kept open, and never again will Goldplat be in a position where it finds itself building up stock with nowhere to sell it.

That was step one.

Step two in the new strategic plan was to increase in-house elution capacity – not only to work through the backlog stock, but to enable Goldplat to capture more of the value chain in-house going forward and increase production flexibility.

Existing elution throughput of 1.5 tonnes per day was quickly increased to three tonnes per day by efficiency and utilisation improvements.

This was then further increased to five tonnes per day following the purchase and installation of a new electric boiler.

Commissioning of the first of three four-tonne elution columns acquired from DRD Gold  later this year will increase the capacity to eight tonnes per day and along with the Aurubis refinery initiative will deplete the backlog stocks by end December 2015.  Job done… for now.

All of this activity  put something of a strain on working capital, but as a business with a long-standing track record of cash flow Goldplat was able to put into place various short term debt facilities to provide a safety net. Only the South African facility was partly drawn upon to acquire the elution plant.

And of that, Kisbey-Green is proud. “The company hasn’t raised any new capital since 2010,” he says. And he’s not minded to now, especially with the depressed share price. With operations turning cash flow positive once again and the bank facilities in place, he’ll have little need to.

Expansion at the company’s small Kilimapesa mine in Kenya is required and to this end capital investment through a third party is being sought as a first preference.

Kisbey-Green says that with Kilimapesa currently close to operational break-even, he would like to move to profitability and to retain the significant option value to the 670,000 ounce resource.

But in the immediate term he seems more interested in driving growth through a combination of recovery in the South African performance and expansion in West Africa through the Ghanaian operations.

He’s certainly built a firm foundation.

Mon, 12 Oct 2015 09:52:00 +0100
<![CDATA[Media files - Goldplat CEO looking to rejuvenate company’s cash pile ]]> Wed, 07 Oct 2015 15:14:00 +0100 <![CDATA[News - Goldplat expects second half improvement to continue ]]> Goldplat (LON:GDP) expects a substantial improvement in its performance in the current year after the gold recovery specialist returned to profit in its latest six months.

Losses in the year to end June were £766,000 (£248,000), but the company made an operating profit of £115,000 in the second half as its gold refinery operations perked up.

In total, Goldplat recovered 30,524 ounces of gold (30,977oz) over the twelve months, but a lower gold price saw revenues drop to £16.6mln (£21.2mln).

Goldplat had to cope with its third party refiner Rand stopping taking by-product material, from which it extracts gold, but the stocks backlog this caused is now easing helped by a move to process more material itself.

An increase in elution capacity and throughput during 2016 will boost profitability further said chief executive Gerard Kisbey-Green, while reduced losses at gold mine Kilimapesa will produce a further benefit.

“At Kilimapesa, increasing tailings capacity is critical to the ongoing processing through the current treatment plant.

“The plans regarding potential JV partners, expanded production and the new plant and tailings facility are ongoing.”

Mon, 28 Sep 2015 08:43:00 +0100
<![CDATA[News - Goldplat delivers on capital investment in South Africa and Kenya ]]> Goldplat’s (LON:GDP) efforts to improve production and efficiency at its gold recovery operation in South Africa took another step forward today as the company announced the commissioning of a new mill in mid-September.

The mill has the same capacity as the old one, but should be less subject to the breakdowns and temporary stoppages that previously hampered productivity.

The company has also commissioned a new pumping station at the tailings retreatment plant that will increase the throughput there.

That development should allow for the additional production of between 0.5kg and 1kg of gold per month.

Elsewhere on the operation, a new cyanide storage facility has been installed, which should allow for further reductions in costs.

Meanwhile, at the Kilimapesa gold project in Kenya, Goldplat has completed its de-watering programme and the equipping of decline shafts and reef drives.

This will allow underground exploration to get underway.

Chief executive Gerard Kisbey-Green spoke of “pleasing” momentum.

“We look forward to seeing the results in increased flexibility, production and profitability at our leading South African gold recovery operation,” he said.

Tue, 22 Sep 2015 08:07:00 +0100