HomeNewsCentral Rand Gold secures US$250 000 loan through existing agreement

Central Rand Gold secures US$250 000 loan through existing agreement

Central Rand Gold is currently working with Jia Bang Wang to assist with the release of the balance of the loan monies.

The board of directors are mindful of the Central Rand Gold’s cash position, which has been improved by the delivery of this tranche of the loan, and will continue to exercise prudence in its expenditure.

Central Rand Gold will update the market on progress of the shipping; instalment and commissioning of the concentrator circuit presently and will provide a further operational update in the coming days.

As announced on 6 October 2016, Central Rand Gold has executed an agreement to acquire mine waste dumps that contain 2.3 Mt of gold bearing materials, with an average in-situ grade of 0.7g/t.

As a result of the successful conclusion of the concentrator test work conducted in 2016, Central Rand Gold has resolved to procure a concentrator circuit to upgrade the gold grade of the mine waste dumps materials before further metallurgical processing. Shipment and installation is expected by the second quarter of 2017.

Central Rand Gold commissioned Mill No 1 in November 2016. Together with Mill No 3 it is able provide a nameplate milling capacity of 800 tpd.

Industrial relations update

The negotiation of annual wage increases has ended in a dead lock, and the employees have embarked on industrial action in the form of a strike. Company representatives and union officials have met at the Commission for Conciliation, Mediation and Arbitration (CCMA) to resolve issues.

As from 10 May 2017, the Central Rand Gold lost five days’ production, as a direct result of the strike.

On 9 May 2017, the picketing rules have been signed at the CCMA, thus allowing non-striking workers to return to work. The operation will be run with skeleton staff in the interim.