Caledonia meets Q1 production target

Published: 11 April 2018

CALEDONIA Mining Corporation Plc, which owns Blanket Mine in Matabeleland South, is on track to achieving its full year output target after producing 12 924 ounces in the first quarter.

The Toronto Stock Exchange-listed group has announced a full year production guidance for 2018 at Blanket Mine which is projected to range between 55 000oz and 59 000oz.

Last year, the Gwanda-based gold mine produced a record high of 56 135oz.

In a quarterly production update for the period ended March 31, 2018, Caledonia revealed that output during the quarter under review at Blanket Mine was higher than the 12 794oz achieved in the comparable period last year.

"Approximately 12 924oz of gold were produced during the quarter, in line with production expectations for 2018.

"Caledonia maintains its 2018 full year production guidance of 55 000oz to 59 000oz and remains on track with progress towards its long-term target of 80 000oz by 2021," said the mining group.

Group chief executive officer Mr Steve Curtis commented:"Production in the first quarter of 2018 is consistent with the level achieved in the corresponding quarter of 2017 as Blanket remains on track to deliver its full year guidance.

"While production is in line with expectations, our safety performance during the quarter was very disappointing as we announced during the quarter a fatal accident at Blanket."

He, however, said his group remains fully committed to the safety of all the employees as management reaffirms its commitment to safe gold production.
"The sinking of the central shaft continues to progress according to plan and within budget, with the shaft currently at a depth of 990 metres.

"We look forward to commencing production from the central shaft in 2020, which is expected to deliver the company's growth plan to achieve 80 000 ounces by 2021," Mr Curtis said.

Meanwhile, Caledonia has also reaffirmed its commitment to a $4 million investment towards exploration and metallurgical test work to its satellite properties. The mining group also looks forward to continued exploration activities in order to expand areas of investment opportunities.
- the herald

Tags: Caledonia,