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.