Diversified gold company Besra increased gold recovery at its Phuoc Son and Bong Mieu projects in the second quarter of the 2013 fiscal year, ending December 31 2012.
Gold recovery at the two process plants increased from 92 to 94% and 80 to 87% respectively, while daily throughput at the Phuoc Son plant increased by 140% to 1200 tonnes.
The gold produced in the last quarter totalled 16,204 ounces from 120,257 tonnes of ore at an average grade of 4.49 grams, up from 11,912 ounces from 96,189 tonnes at 4.31 grams/tonne gold in the September quarter.
Besra’s chief executive officer John Seton says, “Production from our Vietnamese mining properties is increasing and those properties have mine-life extension upside. We have exciting in-country growth prospects subject to agreeing to appropriate fiscal arrangements with the government.
“The operating environment in Vietnam is improving as the Vietnamese government makes new efforts to encourage investment. Additionally we continue to educate investors with potential institutional/broker site visits,” he says.
Gold sales from the Phuoc Son project increased 21% to US$16.1 million. This operation also recorded a 53% increase in total gold production with 12,083 ounces of gold produced. While gold sales decreased 7% at the Bong Mieu operation, the total gold produced increased by 3% to 4121 ounces. Besra says its total 2013 production will remain in line with its forecast of between 60,000-65,000 ounces.
The company plans to increase daily processing capacity to see 1400 tonnes processed from July 2013, which will facilitate an increase in annual production in the 2014 fiscal year of 70,000-75,000 ounces.
Meantime, the company has increased its holding in the Bau goldfield in East Malaysia to 85.05% by settling a third tranche with North Borneo Gold Sdn Bhd.
In November 2012 Besra also successfully restructured and extended the maturity of its current debt reducing it by US$4.4million and reducing the fully diluted share capital by 36 million shares.
Besra, which completed its re-branding from former company name Olympus Pacific Minerals, expects to expand existing gold production capacity in Vietnam during the next two years and is projecting new production capacity from Bau Central during 2015.