Landore (LON:LND) was one of the sector’s biggest risers after it issued a progress report on extension drilling of the BAM East gold prospect on its Junior Lake Property, Ontario, property.
Final results have been received from the recently completed drilling campaign with results showing wide zones of near surface gold mineralisation with drill-hole 0416-541 reporting 56.86 metres (m) at 1.60 grams/tonne gold (g/t) including 4.00m at 5.17g/t gold.
The recently completed summer drilling campaign consisting of 22 NQ diamond drill holes (0416-524 to 0416-545), for 4,077m, was drilled to test the east, west and down dip extensions of the new gold zone.
The drilling has successfully extended the BAM East Gold Prospect for a distance of 500 metres along strike from 2200E to 2700E and to a vertical depth of 150 metres. The prospect remains open along strike to the east and west and down dip.
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Pan African Resources (LON:PAF) said its FY after-tax profit in rand terms increased by 160.2% to ZAR547.0m, from ZAR210.2m a year ago. In sterling terms, after-profit rose 117.9% to £25.5m, from £11.7m.
“The … group delivered an outstanding set of results for the 2016 financial year. These results include a year of record gold production and profits and the largest dividend payment to date,” said CEO Cobus Loots in a statement.
“Our gold mining operations delivered exceptional results, producing in excess of 200,000oz of gold for the financial year.
“The performance from Evander Mines, in particular, demonstrated the potential of the operation, with production increasing by 30.8% year-on-year.
“Results were also assisted by the Rand gold price and a full years production from the Evander tailings retreatment plant.
“Our robust financial position, well-established cash-generative operations, decentralised hands-on management structure and cost-conscious culture differentiate us from our peers.
“These attributes give Pan African Resources a competitive advantage for further growth through our project pipeline and also position the group to capitalise on potential acquisition opportunities.”
Separately, Pan African said its 2016 Abridged Mineral Resource and Mineral Reserve Report (MR&MR) has been released.
– 3.0 million ounces (Moz) or 9.4% gross annual increase in Group gold resources to 34.9Moz (2015: 31.9Moz).
– 0.4Moz or 3.8% gross annual decrease in Group gold reserves to 10.0Moz (2015: 10.4Moz).
– No material change in Group platinum group elements (PGE) resource, 0.6Moz (2015: 0.6Moz).
– 0.3 Moz or 60% gross annual decrease in Group PGE reserves to 0.2Moz (2015: 0.5Moz). Following International Ferro Metals Limited (IFM) being placed in business rescue, the PGE mineral reserves at Phoenix Platinum declined year-on-year by 0.3Moz.
– 23.3 million tonnes (Mt) of mineable tonnage in situ coal from Uitkomst Colliery.
– Down dip extension of the high grade 11 Block of the main reef complex (MRC) orebody by a further 70 metres. This extension to the MRC orebody resulted in additional mineral reserves at Fairview Mine, thereby extending the life-of-mine (LOM) of Barberton Mines to 22 years.
– Positive grade/tonnage profile for the 25-26 levels at Evander No. 8 Shaft, thereby maintaining the LOM of Evander Mines to 16 years. Surface exploration drilling commenced at Evander Mines targeting the 2010 payshoot.
– Positive pre-feasibility study (PFS) of the Elikhulu tailings retreatment project (Elikhulu Project), the Company mandated DRA Projects (Pty) Limited (DRA Projects) to conduct a definitive feasibility study (DFS) on the project. This study will be completed by November 2016.
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Barclays Capital today reaffirms its equal weight investment rating on BHP Billiton PLC (LON:BLT) and cut its price target to 990p (from 1135p).
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Rambler Metals and Mining (LON:RMM), a copper and gold producer operating in Newfoundland and Labrador, Canada, has provided an operational update for its fiscal 2016 year end and fourth quarter ending 31 July.
Rambler said it met or exceeded its 2016 fiscal year production guidance. Targets were achieved for tonnes milled, metal recovery and grades. Gold ounces exceeded guidance by 16 per cent, a record for gold in concentrate production, resulting from adjustments made to the flotation circuit in the first half of the year.
During the second half of the year more focus was placed on increasing mill throughput. Once throughput is fully optimised the team will work towards re-establishing the higher gold recoveries.
Copper grades of 2.12 per cent and gold grades of 1.40 grammes per tonne were in line with guidance. Total mill throughput for the year was 241,080 dry metric tonnes, a 12% increase over the 216,000 tonnes milled in fiscal 2015.
Average recoveries to concentrate for the year were: copper 95.6 per cent, gold 68.7 per cent and silver 71.8 per cent with a concentrate grade of 26.9 per cent, 13.8 grammes per tonne and 98.1 grammes per tonne for copper, gold and silver respectively.
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The sector’s biggest risers were Nyota Minerals (LON:NYO) and Chaarat Gold (LON:CGH) – up by more than 26.3% and over 10.3% respectively. The biggest fallers were GoldStone Resources (LON:FRL) and Amur Minerals (LON:AMC) – down by more tha 10.4% and over 6.9% respectively.
(LON:BEM) Beowulf Mining PLC share price was 0p at 4.25p
(LON:BKY) Berkeley Energia Ltd share price was -0.25p at 49.5p
(LON:BLT) BHP Billiton PLC share price was +18.25p at 1050.75p
(LON:CEY) Centamin PLC share price was +0.4p at 143.5p
(LON:CHL) Churchill Mining PLC share price was -0.5p at 26.75p
(LON:CZA) Coal of Africa Ltd share price was -0.15p at 3.17p
(LON:FDI) Firestone Diamonds PLC share price was 0p at 45.25p
(LON:FRES) Fresnillo PLC share price was +38p at 1708p
(LON:GEMD) Gem Diamonds Ltd share price was -1.25p at 120.5p
(LON:HOC) Hochschild Mining PLC share price was +7.9p at 267.3p
(LON:KMR) Kenmare Resources PLC share price was +12.25p at 295.25p
(LON:LND) Landore Resources Ltd share price was +0.3p at 4.85p
(LON:NYO) Nyota Minerals Ltd share price was +0.01p at 0.06p
(LON:PAF) Pan African Resources PLC share price was +0.88p at 19.38p
(LON:RMM) Rambler Metals and Mining PLC share price was 0p at 5.13p
(LON:VED) Vedanta Resources PLC share price was +10.25p at 519.25p
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