Business
GHANA OPERATION
GHANA OPERATION.
About this update from Goldplat Plc
[{"type":"text","content":"\n Goldplat plc\n16 October 2006\n\n Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration\n\n\n\n16th October 2006\n\n Goldplat plc ('Goldplat' or 'the Company')\n\n Establishment of Ghana Operation\n\n\n\nGoldplat plc, the AIM-traded producer of gold and platinum group metals ('PGM')\nrecovered from by-products of the mining process, is pleased to announce that\nconstruction work has now commenced in Ghana on the Group's second gold\nprocessing plant, following the completion of the acquisition of a 4.25 acre\nsite in the free zone port of Tema. The expansion represents the next step in\nthe Company's development plans, aimed at building Goldplat into a mid-tier gold\nproducing mining house backed by the revenue generated from processing\noperations.\n\n\n\nThe new processing plant will replicate Goldplat's South African processing\noperation which has contracts with the leading mining companies in the areas of\nboth gold and PGM. It will provide access to raw materials from mines in Mali,\nGuinea, Burkina Faso, Benin, Cote D'Ivorie, Senegal, the DRC and Mauritania, as\nwell as Ghana itself. The leasehold rights were acquired from the Tema\nDevelopment Corporation for the cash consideration of USD 200,000 through the\nCompany's wholly owned subsidiary Gold Recovery Ghana Limited ('GRG'). The lease\nis for an initial period of 60 years with an option to renew for another 20\nyears. The establishment of the new plant in the free port also brings with it\nsubstantial tax benefits.\n\n\n\nThe Group has made contact with the major gold producing companies in Ghana as\nwell as various smaller gold operations to ensure the project's feasibility. In\nall cases the by-product material produced from these companies' operations is\nsuitable for the project in Tema. The Group will also be looking to sell scrap\nmetals produced as a by-product in Goldplat's processing circuit with three\nsmelters having already confirmed interest.\n\n\n\nThe Directors anticipate that the plant in Tema should be able to commence\noperations by the end of 2006. The first operations will be the cleaning of\nrubber and steel liners to produce a concentrate for export. The cleaned\naluminium and steel will be sold locally. In addition, under existing\nagreements with local mines, fine activated carbon collected from mines is\nalready being ...