Sign up United Kingdom
Proactive Investors - Run By Investors For Investors

Xtract Resources reports increase in quarterly gold sales from Manica project

“We continue to address key areas of performance and we expect improved results month-on-month," said Xtract boss Colin Bird
gold
Xtract is adapting its operational approach to alluvial gold at Manica

Xtract Resources PLC (LON:XTR) reported an increase in first quarter gold sales from the Manica project in Mozambique despite production taking a hit from heavy rainfall.

Xtract’s share of gold revenue and costs from the project is 40% under a collaboration agreement between its subsidiary Explorator and Nexus Capital Limited signed last June.

The company said the total combined attributable income from gold sales rose to US$333,000 in the three months ended March 31, compared to US$218,000 the previous quarter.

READ: Xtract Resources strikes new deal with contractor for Mozambique gold operation

Its share of attributable income from gold sales rose to US$133,200 from US$87,200.

Explorator’s share of gold sold increased to 314 ounces from 210 ounces even as its share of gold production fell to 297 ounces from 319 ounces.

Total contractor alluvial gold production dropped to 1,200 ounces from 1,279 ounces.

"Alluvial production in the first quarter was disappointing, although real progress was made, which was frustrated by prolonged heavy rains,” said Colin Bird, chairman of Xtract.

“One alluvial mining contractor was partially able to combat the effects of rain, whilst the other alluvial mining operator (using traditional alluvial processing methods) was unable to produce for a significant part of the quarter.

“We continue to address key areas of performance and we expect improved results month-on-month.”

Bird added that Xtract is adapting its operational approach to the alluvials, based on what it has learned over the past six months.

Xtract is also considering different mining methods for the terraces, which require deeper mining and often produce large nuggets that can mitigate lower average grades, he said.

View full XTR profile View Profile

Xtract Resources PLC Timeline

Related Articles

map of project area
March 26 2018
The prospect of an IOCG deposit, similar to Olympic Dam, has ignited interest in the stock.
copper
July 18 2018
A new joint venture is also being set up on a 70/30 MOD/Metal Tiger basis to continue exploration
1533209631_Shefa-Yamim---Kishon-River.jpg
August 02 2018
Shefa Yamim has a highly prospective gemstone project in Israel

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use