Ariana Resources pleased with production at Kixiltepe in second quarter

Gold exploration and development company Ariana Resources released its preliminary production results for the quarter ended 30 June for the Kiziltepe Mine on Wednesday, reporting gold production of 6,438 ounces - down from 7,296 ounces in the first quarter, but exceeding average annualised quarterly guidance by 3%.

The AIM-traded firm explained that Kiziltepe is part of the Red Rabbit joint venture with Proccea Construction, and is 50% owned by Ariana through its shareholding in Zenit.

Total ore processed for the quarter was 48,132 tonnes, rising from 46,825 tonnes in the first quarter, at an average head grade to the plant of 4.16 grams per tonne of gold.

Quarterly open pit ore mined was around 43,367 tonnes, at an average mined grade of 4.59 grams per tonne of gold, with total material movement for the quarter standing at 943,034 tonnes.

Average metallurgical plant recovery of gold remained high at 95.2%, the board said.

“We are very pleased to report strong second quarter 2019 operational performance at Kiziltepe, including one of the highest material movement rates in the mine's history,” said Ariana Resources managing director Dr Kerim Sener.

“Gold production during the quarter was again above target, although operations continued to be constrained by the pushback underway on the southern wall of the pit.

“Careful stockpile management through the period enabled mill throughput to be maintained according to guidance.”

Dr Sener said that, while a pattern of unusually wet weather had continued into July, progress on pit development had been continuing at pace with material movements increasing further.

“These higher mining rates are being accommodated by an increase in fleet capacity by our mining contractor and this will be maintained as we progress with pre-stripping of the Arzu North and Derya pits later this summer.”