VANCOUVER (miningweekly.com) – Small-scale Peru-focused gold processor Inca One Gold has reported a 124% year-on-year increase in gold output for the months of July and August combined, the company announced on Wednesday.
"July and August was another productive period for Chala One and our operations team is to be commended for solid and consistent production numbers. I am pleased with our continued growth entering the second half of the year, keeping Inca One on track towards our goal of positive cash flow,” said president and CEO Edward Kelly in a statement.
The TSX-V-listed company said the volume produced at its Chala One gold milling facility more than doubled from the same period last year, increasing to 1 780 oz, reflecting an increase of 9% from the May and June months.
During the latest two months, the company achieved an average throughput of 67.4 t/d, which suggested an increase of 180% from the comparable two-month period in 2016, and an increase of 13% from the prior two-month period of May and June. Over July and August, the company processed about 4 178 t of material, compared with 1 492 t year-on-year (an increase of 180%).
Inca One reported that its supply of artisanal gold-bearing material for processing continued to increase steadily. Minerals received in July and August totalled 4 260 t – an increase of 132% year-on-year, and 10% when compared with the prior two-month period of May and June.
The company declared commercial production at the Chala One gold milling facility, which services government-sanctioned, small-scale miners, in March 2015.
Peru's small-scale mining sector accounts for a significant portion of all Peruvian gold production, contributing an estimated $3-billion a year to the economy. Peru is the sixth-largest gold producer in the world.