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Gold & silver

Hummingbird confirms date of first gold production at Yanfolila

The West African-focused explorer has confirmed that first gold production is expected by the end of 2017

Hummingbird Resources Ltd (LON:HUM) investors won’t have to wait too much longer now after the company confirmed that first gold production at its Yanfolila project is expected by the end of this year.

The explorer said in its quarterly review that the “defining moment” of the past few months was the start of construction at the Malian project.

Hummingbird reckons the mine will churn out around 132,000oz of the yellow metal in the first 12 months, with a life of mine average of around 107,000oz.

Yanfolila is estimated to be host to 2.2mlnoz of gold, with the plant processing around 1.24mln tonnes per year of ore.

All in sustaining cash costs (AISC) are expected to come in around US$700/oz, leaving a tidy profit given the circa US$1,190/oz gold price.

Hummingbird shares closed slightly lower on Tuesday at 22.1p.

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