Falgold’s Turk Mine production at 70 percent of capacity

Gold production at Falgold-owned Turk Mine near Bulawayo is now at 70 percent of installed capacity although funding constraints could hit efforts to push the mine to full production, an official said today.

New Dawn Mining president and chief executive officer Ian Saunders said that the company commissioned a new shaft and suspender at the end of November last year which has seen production improving.

“We still need funding to carry out major exploration and other upgrades to ensure maximum production,” he said.

Saunders added that he cannot reveal how much the company needed as the group has yet to budget for the year.

“Capital expenditure for the year will basically depend on a number of issues, chief among them that of royalties and electricity (costs). We wait for direction from government to evaluate costs before coming up with a budget. Remember everyone is still coming from the holidays.”

The Canada-listed New Dawn has an 85 percent controlling shareholding in Falgold.

The new equipment at Turk Mine is expected to push production to between 20 000 ounces and 25 000oz annually, although no comparative figures are available.

Falgold reported a net loss of $1.8 million for the full-year to September 30 last year, compared to a $12.5 million loss in 2013.- The Source

(192 VIEWS)