News that, by the end of the last quarter of the year, all Goldplat PLC (LON:GDP) operations were profitable sent its shares higher today.
In late afternoon trading, the AIM-listed stock was up 8.2%$, or 0.5p at 6.63p.
This is perhaps the key takeaway from Goldplat’s preliminary results, which show that the company produced 42,857 ounces of gold during the year to 30 June, up 13.7% year-on-year, and due in part to the successful implementation of a turnaround strategy at the Kilimapesa gold mine.
Recovery operations produced 39,449 gold equivalent ounces, up from the 35,661 ounces produced in 2016.
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Kilimapesa Mine produced 3,408 ounces of gold, up from 2,005 ounces in 2016. If that number still seems low, then the increased processing capacity was only seen towards the end of the year.
Production in excess of 5,800 ounces is targeted for this year.
On the gold recovery side, the company continues to work towards increasing geographical reach by establishing Ghana as an international recovery hub, with material already being imported from elsewhere in Africa and South America and opportunities identified in North America
Meanwhile, plans to move into platinum recovery are also continuing.
Overall, operating profit increased to £2.9mln, up from £1.2mln, while net cash rose to £2.65mln from £2.056mln at 30 June 2016.
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