New Wisdom Investment Limited
Banro Achieves Record Gold Production Results
Banro Achieves Record Gold Production Results in Q2 as Namoya Ramps Up to Full Production Levels (July 11, 2016)
TORONTO, ONTARIO--(Marketwired - July 11, 2016) - Banro Corporation ("Banro" or the "Company") (NYSE MKT:BAA)(TSX:BAA) announces operating results for the second quarter of 2016.
Q2 OPERATIONAL HIGHLIGHTS
- Twangiza and Namoya produced a combined 49,673 ounces of gold during the second quarter of 2016, for year-to-date total production of 93,865 ounces of gold. Both figures represent record production levels for the Company. Gold production in the first half is in-line with 2016 production guidance, with the second half expected to deliver the bulk of annual production.
- Twangiza produced 26,218 ounces of gold in the second quarter of 2016, also in-line with guidance, with the mine plan during the first half of the year requiring the mining of ore zones with lower head grade at lower recoveries compared to recent quarters.
- Namoya produced 23,455 ounces of gold in the second quarter of 2016, with a record 9,201 ounces produced in June.
"We are very pleased with the continued ramp up at Namoya during the second quarter, culminating in over 9,000 ounces of gold being poured in June. This positions the Namoya operation for steady state production during the second half of the year," said Banro President and CEO John Clarke. "We continue to be focused on the replacement of the Senior Secured Notes maturing in March 2017, with a longer term instrument. Resolving the impact of the Senior Secured Notes would provide the Company with long-term opportunities and benefits."
Twangiza's production in the second quarter of 2016 was consistent with the first quarter of 2016, with both quarters being in line with the mine plan. Production levels are expected to increase in the second half of the year. Mining productivity increased significantly over the first quarter of 2016 as Twangiza continued to move increased amounts of waste. Recoveries at Twangiza during the second quarter of 2016 were impacted by the blend of ore type based on available mining faces which was exacerbated by excessive wet weather early in the second quarter. The installation of the fine crushing expansion during the third quarter of 2016 is expected to enhance both gold recoveries and mill throughput beginning with commissioning activities late in the third quarter, leading to an overall increase in production. The gold produced as bullion during the second quarter was lower than the gold actually leached during the quarter, with the difference being an increased gold inventory on carbon. This increased gold inventory will be available for smelting in the third quarter.
Preliminary 2016 second quarter results for the Twangiza mine, in comparison to the same period of 2015 and the first quarter of 2016, are as follows:
Total gold production at Namoya for the second quarter of 2016 was 23,455 ounces, with 9,201 ounces produced in June, representing approximately 74% of the gold content stacked during the quarter. Ore mined increased 20% over the previous quarter and ore stacked in the second quarter of 2016 increased 17% from the first quarter of 2016 to 485,319 tonnes. The higher grade delivered allowed for the average grade of ore stacked to be 2.03 g/t Au. Gold production early in the quarter was adversely affected by the lower quantity of gold stacked in the first quarter of 2016; however, the increases in processing productivity during the second quarter allowed for continued growth in gold production. Management expects to take delivery of the required additional auxiliary mining equipment early in the third quarter to assist in the higher production expected in the second half of 2016.
Preliminary 2016 second quarter production results for the Namoya mine, compared to the same quarter in 2015 and the first quarter of 2016, are as follows: