Asanko Gold Mine Continues To Perform Solidly
Galiano Gold Inc. (TSX: GAU) preliminary second quarter operating results from the Asanko Gold Mine (AGM), located in Ghana, West Africa.
The AGM is a 50:50 joint venture (JV) with Gold Fields Ltd, which is managed and operated by Galiano.
The company expects to release its full financial and operational results before the market opens on August 12, 2021.
AGM Q2 2021 Highlights (100% basis):
- Consistent sales: Gold revenue of US$95.1 million generated from 53,348 ounces sold at an average realized price of US$1,782 per ounce
- Advancing development of Akwasiso Cut 3: Stripping at Akwasiso is on schedule for ore delivery in Q3 2021
- Production on target: Gold production of 50,421 ounces, in line with 2021 production guidanc
- Excellence in safety : Zero total recordable injuries (“TRI”) recorded in the quarter, resulting in a 12-month rolling TRI frequency rate of 0.54 per million employee hours worked
- Debt free: Repaid remaining US$15 million outstanding on the revolving credit facility (RCF)
“Stripping of Cut 3 at Akwasiso advanced during Q2 2021 with ore delivery expected to resume on schedule in Q3 2021. In line with expectations, production in Q2 was lower than the previous quarter as mill feed was sourced primarily from Esaase and augmented with lower grade run of mine stockpiles,” said Matt Badylak, President and CEO.
“This in turn resulted in operating costs increasing relative to the previous quarter . Operating costs are forecast to decrease from Q3 2021 once Akwasiso is brought back into production.
“Moving forward we continue to focus on achieving consistent ore supply from Akwasiso and advancing the exploration program at the AGM.”
Health and Safety
During the quarter, there were no lost time (LTI) nor recordable injuries reported resulting in 12-month rolling LTI and TRI frequency rates of 0.09 and 0.54 per million employee hours worked, respectively.
Production
In Q2, the AGM sourced ore primarily from the Esaase Main pit (while stripping of Cut 3 at Akwasiso was ongoing) as well as run of mine stockpiles. During the quarter, 1.3Mt of ore at an average gold grade of 1.2 g/t and 6.4Mt of waste were mined from the Esaase Main pit. At the Akwasiso pit, 2.6Mt of waste was mined associated with Cut 3 stripping activities.
The processing plant milled 1.5Mt at a feed grade of 1.1 g/t during the quarter with metallurgical recovery averaging 94%.
Gold production for the quarter totalled 50,421 ounces with gold sales of 53,348 ounces at an average realised price of US$1,782 per ounce, generating gold revenue of US$95.1 million for the quarter.
At the end of the quarter, the JV held approximately US$41.3 million in unaudited cash, US$13.4 million in gold sales receivables and US$3.1 million in gold on hand. The AGM repaid the remaining US$15 million outstanding on its RCF during the quarter and is now debt-free.
For further information please visit: http://www.galianogold.com.
