Gold output falls but revenue rises at Altyn

The London-listed firm said the amount of gold poured was down from 3,610 ounces in the second quarter, although its revenue was up 38% from $4.58m.

It put that down to higher gold prices, and the claw-back of accruals relating to timing differences of the sale of production to the refinery from the previous quarter.

The company mined 134,715 tonnes of ore in the period, down from 143,400 tonnes, and reported contained gold og 6,794 ounces, falling from 6,930 ounces quarter-on-quarter.

Altyn milled a total of 92,567 tons of ore, down from 94,057 tonnes, but reported an improved gold grade of 1.55 grams per tonne, rising from 1.5 grams per tonne.

The board said it was expecting further improvements in grades in the coming quarters given the ongoing mining and reserves uncovering works.

Looking at its finances, the firm said it was granted a supplementary credit line of KZT 3bn ($7m) from Kazakh Bank ‘Bank Center Credit’ (BCC).

It said the loan would be repayable in instalments over a term of five years, with an interest rate of 6%, and would be used to increase processing plant output in line with its plans.

During the period, Altyn took delivery of a JSB crawler excavator with a bucket capacity of 1.8 cubic metres, equipped with a buoyancy machine.

It said the equipment would be used for loading ore on portals one and two, and crushing oversized ore.

“Regarding the Covid-19 situation, the company has put additional measures in place to ensure the health and safety of its personnel,” the board said in its statement.

“There continues to be minimal impact on the production operations of the company, however management will continue to closely monitor the situation while cooperating with the relevant authorities.”

At 0124 GMT, shares in Altyn were down 12.23% at 122.52p.