Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Goldplat plc RNS Release

Renewal of Ghanaian Gold Licence

Renewal of Ghanaian Gold Licence

Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration

20 December 2016

Goldplat plc ('Goldplat' or 'the Company')

Renewal of Ghanaian Gold Licence

Goldplat, the AIM quoted African gold producer, is pleased to announce that it has received confirmation from the Government of the Republic of Ghana (the "Ghanaian Government") that its Ghanaian licence to purchase and deal in gold has been renewed for a period of three years.

Gold Recovery Ghana Limited ("GRG"), the Company's wholly owned gold recovery subsidiary in Ghana, recovers gold from by-products of the mining process, providing an economic method for mines to dispose of waste materials and adhere to environmental obligations.  GRG was previously operating under a temporary licence, pending confirmation that its application for the renewal of its gold licence had been accepted.

As per previous licences, the renewed licence grants the Company the right to purchase and process by-products for the purpose of recovering and exporting gold and concentrates. Under the terms of the licence, GRG will pay a royalty to the Ghanaian Government of 5% on all minerals obtained from its operations. In order to maintain the licence, GRG must continue with its previously announced plans to install an elution plant. The licence requires inter alia that GRG ensures that:

  1. an elution column arrives in Ghana by 30 June 2017;
  2. pre-construction work is completed by 30 September 2017;
  3. the elution plant is installed by 31 December 2017; and
  4. the plant is commissioned and brought into production by 30 June 2018.

The Company is confident that it can install the elution column within this timeframe to meet the defined milestones. 

Customs clearance and shipping of a number of containers, containing concentrates and other by-products destined for further processing outside of Ghana, which have been awaiting the renewal of the licence, will begin immediately. The profits from the sale of the affected stock will be realised in H2 FY2017 rather than the first half of the financial year; the Company does not expect this shipping delay to affect the group's full year results.

Gerard Kisbey-Green, CEO of Goldplat plc commented: "We are very pleased that we have been granted a three-year licence at our Ghanaian recovery business, as a major pillar of our growth strategy is the international diversification of sourcing of material for import into and processing at this 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, and look forward to delivering on our construction targets. I would like to thank the GRG team, our local director as well as the Minister of Lands and Natural Resources, the Chief Executive Officer of the Minerals Commission and their various colleagues for the effort put in to grant this licence before year-end."

*** ENDS ***

For further information, visit www.goldplat.com, follow on Twitter @GoldPlatPlc or contact:

Gerard Kisbey-Green CEO Goldplat plc Tel: +27 (71) 8915775
Colin Aaronson / Jen Clarke / Daniel Bush Grant Thornton UK LLP (Nominated Adviser) Tel: +44 (0) 20 7383 5100
Andrew Raca / Justin McKeegan VSA Capital Limited (Broker) Tel: +44 (0) 20 3005 5000
Charlotte Page / Susie Geliher St Brides Partners Ltd Tel: +44 (0) 20 7236 1177

The information contained within this RNS is considered to be inside information prior to its release.

About Goldplat                                         &# 160;                                                      
Goldplat plc, is an AIM quoted gold recovery services company with two market leading operations in South Africa and Ghana. The Company's strategy is focussed on utilising its cash flow generated from flagship gold recovery operations in Africa to self-fund sustainable growth and expansion of niche gold recovery business model. The Company also has a small gold mining and exploration portfolio in Kenya, Burkina Faso and Ghana and is evaluating various opportunities to create value or monetise these assets.




This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Goldplat plc via Globenewswire




Goldplat plc Timeline

Big Picture
February 20 2017
Video
October 27 2016

© Proactive Investors 2017

Proactive Investor UK 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.