Lionsgold Limited (LON:LION) has seen the timelines for both of its key projects in India and Finland pushed back several months.
At Jonnagiri, changes to the Indian tax system mean that completion of the economic feasibility study is now expected to be at the end of July/early August 2017, while invitations for the mine build and operator contract have just been sent out.
As a result, the schedule for first gold at Jonnagiri has shifted from end 2018 into 2019.
In Finland, a bulk sampling programme at Kuikka is being held up by the environmental permitting process.
With next quarter the earliest now that permission will come through, gold production from the bulk sampling is now more likely in 2018.
Lionsgold added that after talks with its partner they have concluded about 5,000 tonnes will be the optimal amount for the sample, with the delay to allow grade confirmation drilling on site.
Cameron Parry, Lionsgold’s chief executive, said: "Whilst these delays are frustrating, they do not affect the fundamental qualities of the Jonnagiri and Kuikka projects, and we remain highly confident about the potential financial result that can be achieved for Lionsgold.
"At Jonnagiri, through Geomysore, we have exposure to 361,000 ounces (74,000 ounces, net to LION) of a JORC compliant resource at a project with a granted 30-year mining licence.
“At Kuikka we have high grade gold deposits that we expect can support small-scale high-grade underground gold mining with manageable modular capex requirements.”