Cash advances enable investment in Vatukoula Gold Mine
April 18, 2015 8:05 pm
The non-executive chairman of Vatukoula Gold Mine, Yingbin Ian He says cash advances under the Zhongrun Loan agreement have enabled the mine to invest in key pieces of capital equipment and mine infrastructure.
In a statement this week, Yingbin said this investment and the lower fuel prices have helped decrease the cash costs per ounce.
He says they are seeing a general downward trend in their costs with the cash cost last December at US$1,011 per ounce and US$139 per tonne or ore.
However, the months of January and February this year saw cash costs increased to around US$1250 and 1350 per ounce range due to lower ore grades.
Yingbin says substantial funding is required for mine development and expansion in order to achieve the mine’s nameplate capacity and to reduce unit cost.
He adds they are discussing some strategic investors for major funding.