Hummingbird sold gold of 24,575 ozs in Q1
Hummingbird Resources provides the update for the first quarter 2020, at its Yanfolila Gold Mine in Mali.
Yanfolila Operational Highlights indicates, 30,282 ozs of gold poured in Q1 2020 over the 33,892 ozs in Q4 2019. US$875/oz AISC recorded in Q1 2020 while US$839/oz AISC were recorded in Q4 2019.
24,575 ozs of gold sold in Q1 2020 at an average price of US$1,568/oz and 2020 Exploration program well established with over 1,200m of drilling completed so far! Total Recordable Injury Frequency Rate at 2.3, meeting target of lower than 2.5.
At Covid-19 Update provided information says, 1: No material impact to production from Covid-19, 2: Risk mitigation in place including a Covid-19 task force established and a robust set of procedures being implemented to minimise the potential impact of Covid-19, 3: Continuing to support our local communities including donating to the Government of Mali’s Covid-19 fund.
4: Supply chains and logistics for people, supplies and parts remain stressed and continually changing, requiring close attention, 5: CFA5.5bn (approx. US$10m) overdraft facility from Coris Bank remains in place to assist with any short term liquidity challenges!
Outlook of Hummingbird Resources 2020 production guidance is of 110,000 – 125,000 ozs maintained, on track for targeted net cash position in H2 2020, with zero debt by end of H1 2021 is projected and Exploration programme targeting improved mine plan!
Dan Betts, CEO of Hummingbird, commented: “I am pleased to report another solid quarter, despite the challenging operating environment caused by the global COVID-19 pandemic, in which the Company achieved its production targets for Q1. The challenges posed by COVID-19 are extraordinary, dynamic and will undoubtedly affect us as they will every person and business imaginable.
Whilst it is not possible to see the full implications at this stage, it seems inevitable we will encounter costs pressures, just like other businesses, in our dealing with this unprecedented event. I am especially impressed at how the whole team has pulled together collectively with our business partners, local communities and wider stakeholders to act decisively and protect the health and safety of everyone working at site and ensuring business continuity.
We continue to work closely with the Government of Mali and have donated to its COVID-19 fund, as well as directly supporting the local communities at Yanfolila by funding additional medical staff and equipment to the Bougoudale CSCOM (Community Health Centre) and Yanfolila Health Center. We also continue to supply SMO (Single Mine Origin) gold for production of physical investment gold products to meet the recent increase in demand.
Alongside maintaining production, the Company remains committed to advancing its key medium and long term objectives of rapidly deleveraging and strengthening its balance sheet, whilst continuing to explore and develop the considerable Resource upside opportunities at Yanfolila.
Exploration recommenced in Q1 as planned, with an initial focus on advancing the underground potential at Komana East. The first drill holes have intersected mineralisation in the anticipated areas and so we are optimistic that we should be able to add economically viable resources (and thus mine life) to the mine plan. This represents a significant next step in unlocking the potential underneath the Komana East pit."
