Business
Galane Gold Ltd. Releases Financial and Operating Results for 2019 and Update on COVID-19
TORONTO, April 29, 2020 (GLOBE NEWSWIRE) -- Galane Gold Ltd. (“Galane Gold” or the “Company”) (TSX-V: GG; OTCQB: GGGOF) is pleased to announce the release of it
About this update from Golconda Gold Ltd
[{"type":"text","content":" TORONTO, April 29, 2020 (GLOBE NEWSWIRE) -- Galane Gold Ltd. (“Galane Gold” or the “Company”) (TSX-V: GG; OTCQB: GGGOF) is pleased to announce the release of its financial results for the year ended December 31, 2019. All amounts are in United States dollars unless otherwise indicated. A copy of the audited consolidated financial statements for the year ended December 31, 2019 prepared in accordance with International Financial Reporting Standards and the corresponding Management’s Discussion and Analysis will be available under the Company’s profile on www.sedar.com. 2019 Highlights Mupane produced 30,294 ounces of gold at a head grade of 1.72 g/t and a recovery of 74.8% (2018 – 35,527 ounces at a head grade of 1.97 g/t and recovery of 67.4%). Production was constrained in 2019 due to a ball mill transformer failure in Q1 2019 and then a SAG mill drive fault in Q4 2019 which both limited milling capacity. This was offset by management concentrating on improving recovery through increased retention time. Mupane’s average sales price achieved for 2019 was $1,378 per ounce (2018 - $1,247) offset by an operating cash cost(1) of $1,090 per ounce (2018 - $928). Positive operating cash flow, before working capital adjustments, of $3,834,113 and a net operating loss of $3,823,364. Commenced restart of the Galaxy operation in the Republic of South Africa. Galaxy produced 2,773 tonnes of concentrate containing 2,905 ounces of gold for gross sales proceeds, on payable ounces of 2,179, of $2,581,458. Galane Gold made gross capital expenditures of $6,774,314 into the recommencement of production at Galaxy. In 2019, Galane Gold made debt repayments of $3,442,292 (2018 - $683,804). The closing cash balance at December 31, 2019 was $2,201,853. Mupane Update The Company is pleased to announce that Mupane produced 6,818 ounces of gold in Q1 2020 in line with its forecast. In addition, the Company has been notified by the Republic of Botswana Government that, as a mining operation, Mupane is deemed an essential operation and is allowed to keep operating during the country’s 28 day lockdown which commenced on April 2, 2020. For Mupane to continue in operation it has been working closely with the Department of Mines to agree on protocols to manage the potential for the spread of COVID-19 between its employees and in particular in its underground o...