Exploration & Mining News

Galantas increases Q1 2021 concentrate shipment

Galantas Gold Corporation increased shipment of concentrate and slightly narrowed losses for the start of the year at Cavanacaw gold mine in Omagh, Northern Ireland.

Galantas: uses proceeds from concentrate sales to develop Cavanacaw until commercial operations begin (Galantas Gold)

In its unaudited financial results ended 31 March 2021, the Canadian miner recorded a net loss of C$639,963 (Q1 2020: C$680,315).

The miner recorded no revenue and held cash of C$487,193 (Q1 2020: nil; C$936,560).

Shipments of concentrate began during Q3 2019 and the provisional revenues from concentrate sales totalled US$567,000 for Q1 2021 (Q1 2020: US$186,000).

Galantas said that net proceeds from concentrate sales would be offset against development assets until the mine begins operations.

In February 2021, the company announced that a formal agreement regarding blasting was reached with the Police Service of Northern Ireland (PSNI) regarding the supervision of the use of blasting materials.

During March 2021, limited blasting underground restarted along with the development mining of the Kearney gold vein.

This is expected to produce a feed of higher gold grade for the processing plant than the current feed, which comes from low grade stock.

Galantas added that total concentrate production was anticipated to rise, driven by the expected higher feed grade.

OUTLOOK

Since Q1 2020, the Galantas management has changed including the retirement of chief executive Roland Phelps who was replaced by Mario Stifano.

A private placement with additional investors is expected to increase operations at the mine.